lisad
May 12, 2005, 01:13 PM
I am moving to Australia from the US next year and wish to cash out my 401k. What penalties would I pay. I am not retirement age.
AtlantaTaxExpert
May 13, 2005, 06:03 PM
Lisad:
You will pay income taxes (both state and federal) on any amount that you receive prior to the year you turn 59.5 years of age. Further, you will pay a punitive 10% early withdrawal penalty.
How much money are we talking about?