All Forum Posts by: Brian Day

Taylor,

Thanks for the advice! I have a meeting with a financial advisor next week and will check out the FatTire Facebook group.

In December of '21, I rolled over $41k of my 401k into my previous employer's ESOP (had $5k balance at the time). Fast forward to now, and the company has grown exponentially, and was also purchased in June of this year. We received our final statements yesterday and I now have ~$600k in that account (roughly 6x what I should have for retirement at this point). I also have $20k remaining in that company's 401k, along with 20k in my current employer's 401k.

I'm 34 years old, I'm single, I have ~$40k in debt (auto loan). What are my options here? Would it be best to roll over everything into a retirement account to avoid the tax hit? Could I take some of the money and pay off debt and put the rest in my savings that's currently getting 5.05% APY?

Current situation - I'm 34 years old. A couple of years ago I rolled 75% of this 401k into my company's ESOP. I left that company in June of last year, but I was there long enough to be 100% vested. Since I rolled over my 401k money into the ESOP, it has grown exponentially. As it stands right now in the ESOP balance I have 3 times my annual salary (~300k). The company was also sold in June of this year, so this number should increase even more once we know the sale price this month.

In the old 401k where I rolled the 75% from, I still have 21k left in that account. I also currently have 11k in my emergency fund. I'm about to move out on my own again after going through a divorce earlier this year (living with my parents now). I want to take the 21k I have in my old 401k and use it towards paying a big chunk on my car (that way I won't have a hefty car payment plus rent for a while, save some more, and pay another chunk later).

Thoughts on this? I know I'll be paying around 8k in taxes if I withdraw the money.