The withdrawal website has a spot where you enter the amount of money you wish to receive ("How much would you like to receive (net, after taxes amount): $500). The next line is the adjusted amount that will be taken from your account based on the tax withholding percentages you enter (The amount taken from your account (gross, before taxes amount): $702.26).
It was 6.8% for the state taxes and 12% for federal. If I increase the percentage to 22% to account for the 10% penalty, the amount withdrawn from the account goes up to $702 to receive $500. But then doesn't that increase the 10% penalty? Instead of owing $61.50, you would then owe $70? Wouldn't that cycle never end? Or am I just way overthinking this lol
