<prompt> Human: If i phrased that incorrectly I am sorry. I recently took out my savings to pay off somethings and because i took this money out before I was 65 they penalized me 30 which was around 25-30k. Just did my taxes and now they are saying I owe another 20k. How can this be?  <response>: For clarifying, 401k is not savings, its retirement. It to be used for when you retire, and are penalized for early withdrawal. Savings is a savingsmoney market account you open along with your checking at a bankcredit union. 