If you take a distribution from your employer's qualified pension plan, 401(k) or 403(b) plan and the check is made out directly to you, you have 60 days to deposit those assets in either an IRA or another qualified plan. However, your employer is generally required to withhold 20% of those assets for tax purposes. In order to defer taxes on the entire distribution, you must replace the 20% that was withheld from other personal resources and roll that amount into the IRA or other qualified plan within 60 days of the distribution. If you do not have the funds to replace the 20% withheld, you will have to pay ordinary income tax on the 20% not rolled over. If you are younger than age 59 1/2, a ten percent excise tax for early withdrawal also may be imposed.