View Full Version : Taxes & Penalties for withdrawing from 401K?
horseryder_99
Feb 5, 2009, 07:09 PM
How do I find out how much I will have to pay in taxes for withdrawing my 401K and how much in penalties?
ScottGem
Feb 5, 2009, 07:37 PM
The penalty for an inservice withdrawal is 10%. The amount of the withdrawal is added to your taxable income. So you have to do your taxes to determine that part.
rkosheff
Feb 23, 2009, 11:47 AM
If you are under the age of 59 and 1/2 you will pay ordinary income tax on the amount withdrawn plus a 10% penalty for early withdrawal. If you are 59 and 1/2 or older you will just pay ordinary income tax on the amount withdrawn.