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Werewolfdad t1_jad6hsd wrote

Reply to comment by iguesswhatevs in Just got my check from former employer closing my 401k account by iguesswhatevs

Yes. If you don't rollover/convert the full balance ($1000), you pay penalties on whatever amount was withheld. In this case, its $21, but still, that's $21 you don't need to give away

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iguesswhatevs OP t1_jad71oc wrote

Wait so $21 on top of the $210 or a total of $231 and where did you get that number?

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Werewolfdad t1_jad76nq wrote

Depends on your income. You could owe more than 21% in just taxes depending on your state. But if you don't "make up" the $210 in your rollover, you will owe a penalty on that $210

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