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What this calculator does
Taking money from a 401k or IRA before age 59.5 usually triggers a 10% penalty plus income tax. This calculator shows the actual cash you receive.
The math
Penalty = withdrawal × 0.10. Income tax = withdrawal × tax bracket. Cash received = withdrawal − penalty − tax.
Worked example
A $10,000 early withdrawal at a 22% tax bracket leaves only $6,800 after $1,000 penalty and $2,200 tax.
Why this matters
Small decisions compound over decades. This calculator shows the long-term price of waiting or choosing the wrong path.
Methodology and transparency
This page publishes the exact formula used to compute the result, so you can verify it in a spreadsheet or check the assumptions against your own situation. The worked example uses the tool default inputs; change any number and the result updates live in your browser. No data is sent or stored.
Common questions
Are there exceptions?
Yes, some hardship situations avoid the penalty. The income tax is still due.
Should I withdraw early?
Usually no. It is one of the most expensive ways to access cash.