So as the above says, I've got this old 401K. I left the place 2 years ago and went governement sector. I've got a pension with my employer and I'm in the process of setting up a 457 so I'll have a good set up there provided I stay, which I've been loving it. My options really seem as follows:
- Leave it
- Roll into an IRA
- Pull it
Leave it is straightforward enough, but it frankly doesn't seem worth keeping the account open considering I can't contribute. This brings me to the second option. Opening an IRA to roll it into and being able to then contribute. This is obviously the smartest decision financially and from what I understand rolling a 401K into a 457b is a bit more of a pain so considering I'd want an IRA it seems better. Third options being to leave it for a couple more years until the housing market cools off and pull it to have more of a down payment for a house. Currently living in an apartment with my SO and paying $2100 in rent so being able to start putting what is already a house payment to work for me rather than throwing it to the wind every month would be nice, plus the ability to live in my own home rather than an apartment complex. I know it's not financially the best choice, but considering that could be a downpayment for a home, it'd allow me to get started on the rest of our lives. Considering we've been talking kids in the next few years it'd be a huge boon. Sure it could be worth 10x that 40 years from now, but I could argue the same about my student loans. I could sink every dime into them and kill them off sooner, but why be miserable for 5-8 years just to save like $10k? I'd rather live with that money. Especially considering we could still see some form of forgiveness on them.
Point being, I'm open to ideas!
Though I will say I'm uncertain how much I actually possess. I've technically only invested $8k and they put in around $6k. It was a 5 year vesting period if I recall so I would think this money shouldn't be in my account anymore? It's been maturing for the last 2 years and is worth about $3k over what is currently in there, but I'd then think it wouldn't be all my interest if it's their money still. Grantly they aren't the most fiscally responsible company so I wouldn't be shocked.
original posted by Dj082863 to r/personalfinance on Fri, 01 Mar 2024 21:55:53 GMT.