Early Retirement Withdrawal Penalties and Exceptions

Early withdrawals from traditional IRAs and 401(k)s before age 59½ are subject to a 10% penalty plus ordinary income tax.

Exceptions to the 10% penalty include: disability, death, substantially equal periodic payments (SEPP/72(t)), first-time home purchase (IRA only, up to $10,000), higher education expenses (IRA only), health insurance premiums while unemployed (IRA only), unreimbursed medical expenses over 7.5% of AGI, and separation from service at age 55+ (401k only).

Roth IRA contributions (not earnings) can always be withdrawn penalty-free..