if you have reached the age of 59 1/2 , then there is no early withdrawal penalty. however, you will pay income taxes unless you put the money into an IRA or other qualified plan. Maybe roll it into the new company's plan, if possible. if not, the best way to avoid income tax issues is to do a direct rollover to an IRA or other qualified plan. if you get the cash, you have 60 days to put it into a qualified plan.
