I'm 58 years old and plan to retire in a year, but suddenly my company is pushing me into a voluntary layoff. Do I have a case to fight back — or should I just take the payout?

In some cases, however, it’s a situation that could actually work to your benefit.

For example, if you’re 58 years old and were planning to retire in a year, a voluntary layoff may not be such a bad thing. But it’s important to understand the challenges that might ensue.

Early retirement could work out well

There are certain difficulties that come with retiring early. For one thing, if you need cash, you may be subject to a 10% penalty for an early IRA or 401(k) account withdrawal. Penalty-free withdrawals typically don’t become available until you’re 59.5 years old.

However, there’s a special rule with 401(k)s that may come to your rescue. If you separate from the employer sponsoring your 401(k) during the calendar year in which you turn 55 or later, you can generally access that same retirement plan without penalty even if you’re not yet 59.5. So, in that case, you may be able to tap your savings without a problem.

Furthermore, if your severance package for accepting a voluntary layoff is generous enough, you may not even need to withdraw from your retirement savings early. And if your employer is willing to keep you on its health plan for a period of time afterward, that can be helpful if you were otherwise planning to purchase insurance coverage until you reached Medicare eligibility at age 65.

But going from a full-time work schedule to not working at all can be jarring. And if you were originally going to have another year to come to terms with that change, you might struggle to adopt a job-free lifestyle all of a sudden.

Is fighting back worth it?

Thanks to the Age Discrimination Employment Act, age discrimination against employees 40 and over is illegal — some states also have laws that protect younger workers. So, if you’re at least 40 and feel you’ve been treated in a discriminatory way by your company based on your age, you may be able to file a charge.

But in the scenario described earlier in this article, it might be prudent to balance the pros and cons of fighting such a battle. If you’re miserable at work, are tired of the stress and are in a good place financially to call it quits, accepting a voluntary layoff might represent only a minor change in plans.

However, if you’re being pressured to leave your job before you’re ready, and you feel you have a case against your employer, you may want to explore your options. Consulting with an employment attorney may give you an idea of your chances of success. Just keep in mind that they may charge a fee, and if you decide to take legal action, there may be additional costs.

In the end, you might find escaping a bad job a year earlier isn’t a raw deal at all. And if you’re unsure about whether the money side of things will work out, consider speaking with your financial adviser and making adjustments as necessary.