<prompt> Human: I recently cashed out a very small 401k account from a company I worked at for 1.5 years. About 20 was deducted up front as IRS withholding and the remaining balance is what was paid out. Do I need to pay additional monies to the IRS on my next tax return to make good for the early withdrawal penalty? How is that usually addressed? Up front or during the following tax season?  <response>: Like all withholding, its based on an estimate. They took 10 for the penalty and some amount of money for the taxes. Like all withholding, sometimes you get a refund and sometimes you owe more. It depends on your total picture for the year. Its not too late to roll it over into an IRA and avoid the penalty. Good luck! 