I am 61 not retired yet but want to take money out of my 401K without borrowing it, what are my tax liabilities?

[SweetieJean]

Is this a plan with your current employer?  Check first to see if they will even allow you to take anything out.

[xmasbaby0 · Accepted solution]

You will pay ordinary income tax on the distribution.   You are not subject to an early withdrawal penalty at your age.  In January you will receive a 1099R for the distribution, which you will enter on your tax return.  The income will be taxed as part of your other taxable income.

[SweetieJean]

Depending upon the amount, you may wish to have taxes withheld from the distribution, or make Federal and/or State  estimated tax payments if appropriate.