40000 cash out 403 b after changing employers how much tax to take out so i wont owe next spring

[Opus 17 · Accepted solution]

35%-43% for the IRS depending on your other income and filing status, plus 3%-10% for your state taxes depending on your state.

Cashing out is a terrible idea.  Much better to roll it over to a private IRA or transfer it to a new 403(b) or 401(k) at your next job.  And in most cases, you can leave the money in the 403(b) while you decide what to do, even after leaving the employer.

If you are 30 years from retirement, you're looking at $20,000 cash now after tax, or $230,000 when you retire.