Calculate Cost of 401k Cashout

One of the most important decisions 401k participants face is what to do with their account balances when they terminate employment or retire. Cashing out even small amounts – that is, taking money out instead of rolling it over into an IRA or into an employer’s 401(k) – can have a detrimental effect on ultimate retirement accumulations. Depending on age, tax bracket and the amount in the account, a wrong decision will cost thousands of dollars both in taxes and lost earnings. This calculator clearly illustrates the options - including tax costs and lost earnings - and gives you the information needed to make the best decision.