September 2, 2008
Avoiding Penalty Through 401k Rollover Options
In case you are below 59 1/2 years of age, the tax amount of 20% will be deducted and you will also have to pay a 10% ira penalty for withdrawing the funds early if you take a lump sum distribution. Again a good 401k rollover options would be to directly rollover and transfer the funds to another ira account within 60 days so that you do not incur any charges.