401(k) Withdrawal Calculator
Enter the withdrawal, your other income, state and age to see the taxes, any 10% early-withdrawal penalty and the cash you keep.
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Wages, pension and other taxable income before deductions.
Pick “No state income tax” if your state exempts retirement-plan income.
For example leaving your job in or after the year you turn 55, disability, or a court-ordered QDRO payment.
- Federal income tax
- $3,750.00
- State income tax
- $0.00
- 10% early-withdrawal tax
- $2,000.00
- 20% withheld by the plan
- $4,000.00
The 20% withholding covers part of the federal bill: about $1,750.00 more is due when you file your 2026 return.
How this was calculated
- Federal tax on $60,000.00 of other income: $5,020.00. With the withdrawal ($80,000.00): $8,770.00.
- Federal tax caused by the withdrawal = $8,770.00 − $5,020.00 = $3,750.00 (2026 brackets, $16,100.00 standard deduction).
- Texas income tax = $0.00 − $0.00 = $0.00.
- Early withdrawal (age under 59½): 10% × $20,000.00 = $2,000.00.
- You keep $20,000.00 − $5,750.00 = $14,250.00.
How much to withdraw for a target amount
Enter the cash you need in hand; it uses the income, state and age above.
- Withdraw about
- $13,750.00
Estimate for 2026 with the standard deduction; it ignores credits, Roth 401(k) rules and local taxes. Educational, not tax advice.
How taxes on a 401(k) withdrawal are calculated
Money in a traditional 401(k) has never been taxed, so every dollar you take out counts as ordinary income for the year, the same as wages. This 401(k) withdrawal calculator stacks the withdrawal on top of your other income and measures how much the tax bill grows: federal tax on your income with the withdrawal minus federal tax without it, using the 2026 brackets and standard deduction. It does the same for your state, then adds the 10% additional tax if you are under 59½ and no exception applies.
Worked example
A single filer in Texas earns $60,000 and takes $20,000 out of a 401(k) at age 45. After the $16,100 standard deduction, federal tax on $60,000 is $5,020. With the withdrawal, taxable income rises from $43,900 to $63,900 and the tax becomes $8,770, so the withdrawal adds $3,750: part of it is taxed at 12% and the rest at 22%. The early-withdrawal tax is 10% of $20,000, or $2,000. Texas has no income tax. Total: $5,750, so $14,250 is left. The plan withholds 20% ($4,000) when it pays you, which leaves about $1,750 to pay with the tax return.
The 10% early-withdrawal tax and its exceptions
Withdrawals before age 59½ owe an extra 10% of the taxable amount on top of income tax (Form 5329). Common exceptions: you left the employer in or after the year you turned 55 (50 for public safety workers), total and permanent disability, a series of substantially equal payments, unreimbursed medical costs above 7.5% of income, a court-ordered payment to an ex-spouse (QDRO), and since 2024 one emergency withdrawal of up to $1,000 a year. A hardship withdrawal is not an exception by itself: it can be taken early but still owes the 10%. California charges another 2.5% on early distributions, which the calculator adds automatically.
Common mistakes
Treating the 20% withholding as the final tax is the big one: someone in the 22% or 24% bracket who is under 59½ owes 32% or 34% before state tax, so the withholding falls short. Another is forgetting that a large withdrawal can push part of it into a higher bracket, which is why the calculator shows the bracket of the last dollar. Roth 401(k) money follows different rules: qualified withdrawals are tax-free, and only the earnings are taxed when the rules are not met. Some states, Illinois among them, do not tax 401(k) distributions at all; choose “No state income tax” for those.
Sources
IRS Rev. Proc. 2025-32 (2026 brackets and standard deduction), IRS Topic 558 (additional tax on early distributions), IRS Publication 575 (pension and annuity income, 20% withholding on eligible rollover distributions) and California FTB Form 3805P. Federal figures apply to tax year 2026.
Frequently asked questions
How much tax do I pay on a 401(k) withdrawal?
A traditional 401(k) withdrawal is taxed as ordinary income at your federal bracket (10% to 37% in 2026) plus any state income tax. Before age 59½ you usually owe an extra 10% unless an exception applies.
Is 20% withheld from a 401(k) withdrawal enough?
Often not. The plan must withhold 20% for federal tax, but someone in the 22% bracket who is under 59½ owes 32% before state tax. The difference is due with your tax return.
How can I avoid the 10% penalty on a 401(k) withdrawal?
Wait until 59½, or qualify for an exception: leaving the employer in or after the year you turn 55, disability, substantially equal periodic payments, medical costs above 7.5% of income, a QDRO, or a $1,000 emergency withdrawal once a year.
Does a 401(k) withdrawal count as income?
Yes. Pre-tax 401(k) withdrawals are added to your income for the year, so they can push part of your income into a higher bracket. Qualified Roth 401(k) withdrawals are not taxed.
Do states tax 401(k) withdrawals?
Most states with an income tax do. States without an income tax, such as Texas and Florida, do not, and a few, including Illinois, exempt retirement-plan distributions. California adds 2.5% on early withdrawals.