Except for rollovers, all payouts are considered distributions, and are taxed.

The amount of tax you will pay depends on several factors:

• The amount you withdraw in a calendar year, and your income in that year
• The type of Plan you have – 401(k) or 457
• Your age and employment status

Basically, any amount you withdraw from your 401(k) account will be taxed at 20%, and if you're under age 59 1/2, you'll be taxed an additional 10% when you file your return.

Any amount you withdraw from your 457 account will be taxed at 20%. However, if you select a periodic distribution over 10 years, then you only pay 10% tax.