Question: is 401k lump sum taxable?
Answer: * What Kind of Tax Hit Will You Pay if You Take the Lump Sum? All 401(k) withdrawals are subject to federal income tax, except for "Roth" 401(k)s. ... Also keep in mind that if you take a lump sum and don't roll it over into an IRA before age 59 1/2, you'll pay an additional penalty.