Voluntarily left job and took 401k money do I still get taxed extra? Count as early widthdrawl?

Forum|Forum|7 years ago
June 1, 2019
1 reply
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if I voluntarily left a job in which I held a 401k do I still get taxed extra? And does it still count as a early withdrawal?

TurboTax Deluxe Online

Best answer by MargaretL

Yes, the 401K withdrawal will be considered an early withdrawal if you took the money before you reached age 59 and 1/2.

You will be subject to additional 10% tax penalty, unless very specific exceptions - allowed by the IRS- apply.

Please enter form 1099-R into TurboTax exactly as it appears and answer follow up questions. The program will help you determine if there are any exceptions applicable to your situation.

Federal Taxes
Wages and Income
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Select IRA, 401(k), Pension Plans (1099-R)

MargaretLAnswer

Level 12

Yes, the 401K withdrawal will be considered an early withdrawal if you took the money before you reached age 59 and 1/2.

You will be subject to additional 10% tax penalty, unless very specific exceptions - allowed by the IRS- apply.

Please enter form 1099-R into TurboTax exactly as it appears and answer follow up questions. The program will help you determine if there are any exceptions applicable to your situation.