| Transfer it into a rollover IRA. You can go to any bank, mutual fund or brokerage house and they will help you with the transfer. That way, you can get the money out tax-free and later transfer it into the 401K of your new employer.
If you take it out and spend it, the custodian will withhold 20% (required by law). You will pay taxes at whatever your tax rate is for both federal and state PLUS a 10% early withdrawal penalty which cannot be mitigated. That means that you will pay the 10% penalty even if you owe no other tax. | 
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