401 Withdrawal Calculator

For a 72(t) series this is the account balance determined under section 3.02(d) of Notice 2022-6.
An effective annual rate, applied to whatever is left in the account.
Set above zero to hold the withdrawal constant in real terms; the cash amount then rises each period.
Used when working out how much you can withdraw.
Used when working out how long the money lasts. This is the amount per withdrawal, not per year.
Ages below 59.5 attract the 10% additional tax on an early distribution.
Only used with the Joint and Last Survivor Table.
Notice 2022-6 caps this at the greater of 5% and 120% of the federal mid-term rate.
Optional. The section 1274(d) rate for either of the two months before payments begin; supply it to see the ceiling above 5%.
The present value of an annuity of 1 per year at your age, derived from the mortality rates of Treas. Reg. 1.401(a)(9)-9(e) at your chosen interest rate. Required only for the fixed annuitization method.
The taxable distribution, before tax and withholding.
Defaults to the 20% mandatory withholding on an eligible rollover distribution from an employer plan.
Amount you keep
34,000.00
Retirement Withdrawal Calculator
Total withdrawn
50,000.00
Balance left at the end
450,000.00
Income tax on the withdrawal
11,000.00
10% additional tax
5,000.00
Total tax and penalty
16,000.00
Withheld by the plan
10,000.00
Method used
Ordinary income tax plus the 10% additional tax of IRC 72(t)(1)
Worked out from IRS Notice 2022-6, Substantially equal periodic payments under section 72(t)(2)(A)(iv) and 4 other sources.
The marginal rates you enter are applied flat to the whole distribution. A large withdrawal can push you into a higher bracket and can change credits, Medicare premiums and the taxation of Social Security, none of which is modelled here.
Whether a distribution is permitted, whether any exception to the 10% additional tax applies, and what a series of substantially equal periodic payments must look like to avoid the recapture tax of IRC 72(t)(4) are tax determinations this tool does not make. The withdrawal projections assume a constant rate of return, which no real portfolio delivers. Confirm your position with a qualified tax adviser before acting.

How this is worked out

4 steps
  1. Income tax = 50000 x (22% + 0%) = 11000
  2. Additional tax under IRC 72(t)(1) = 10% x 50000 = 5000
  3. Amount kept = 50000 - 16000 = 34000
  4. The plan withholds 20% = 10000 against that liability

Results are general information, not financial, tax, legal, medical or engineering advice.