Should I withdraw from my retirement early?

Taking money out of a retirement account early costs you three times: income tax, a 10% penalty, and every dollar of growth that money would have earned. Here's the full bill.

The withdrawal

INPUTS

Amount you want to withdraw

Account type

A plan distribution carries a mandatory 20% federal withholding that you cannot waive.

Your age

yrs

Retirement age

yrs

Filing status

Other gross income

Wages and other taxable income before deductions, not your taxable income.

State tax rate

Expected return

A penalty exception applies (disability, qualified medical costs, SEPP, and similar)

What you actually get

AFTER TAX

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Enter the amount you're thinking of withdrawing.

Save or send these numbersEmail

All four happen in your browser. Your figures are not sent anywhere — the email opens in your own mail app, already filled in.

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Why the 10% penalty is the smallest part of the billA written guide to the rules behind this calculator →

For educational purposes only and not tax advice. Uses 2026 federal brackets and the standard deduction, with a flat state rate — it does not model credits, phase-outs, or itemising. Exceptions to the 10% penalty are specific and fact-dependent (disability, certain medical costs, first-home purchase from an IRA, substantially equal periodic payments, and others). A 401(k) loan or hardship distribution may have different rules. Talk to a tax professional before withdrawing.