How much tax will I pay on a 401(k) withdrawal?

The withdrawal is ordinary income and stacks on top of what you already earn, so it is taxed at your marginal rate and can push part of itself into a higher bracket.

Why does my plan withhold 20%?

Federal law requires plans to withhold 20% of an eligible rollover distribution. That is a deposit against what you owe, not the tax itself, so you may owe more at filing or get some back.

When does the 10% early withdrawal penalty apply?

Generally before age 59½, with exceptions including separation from service at 55 or later, substantially equal periodic payments, and disability.

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Take $50,000 out of your 401(k).
How much actually reaches your bank?

Most people are surprised twice. Once by the mandatory 20% your plan withholds before you see a dollar, and again in April when the withdrawal stacks on top of your other income and pushes part of it into a higher bracket. This works out both.

Your numbers

How much are you withdrawing?

Your age

Filing status

Your other taxable income this year After your standard deduction. Wages, pension, interest, the taxable part of Social Security.

Your state income tax rate

Want the rest of the picture?

The one-page 2026 Retirement Income & Tax cheat sheet: brackets, the IRMAA cliffs a big withdrawal can trigger, RMD divisors, and the order to draw accounts in. Free, from a 501(c)(3). Nothing is sold.

You withdraw
Federal income tax on this withdrawal
Early withdrawal penalty (10%, under 59½)
State income tax
You keep

Take $50,000 out of your 401(k).How much actually reaches your bank?

Your numbers

What actually lands in your account

Want the rest of the picture?

Take $50,000 out of your 401(k).
How much actually reaches your bank?