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

devecchis · ‎June 3, 2019

Opus 17 · ‎June 3, 2019

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.

*Answers are correct to the best of my ability at the time of posting but do not constitute legal or tax advice.*

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Opus 17 · ‎June 3, 2019

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.

*Answers are correct to the best of my ability at the time of posting but do not constitute legal or tax advice.*

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