From Yahoo Finance: 2025-06-13 14:47:00

Rolling over a 401(k) with $15,000 withheld for taxes can result in penalties if not handled correctly. If under 59 ½, a $1,500 penalty may apply for early withdrawal. To avoid this, opt for direct rollovers with no withholding to ensure all funds reach the new account within the 60-day period.

Read more: I rolled over my 401(k) and was taxed and charged a penalty. What happened?