I have about $7,000.00 vested in my current, soon-to-former employer's 401k program. I think these are my options - leave it where it is and allow it to continue to collect interest, transfer it to an IRA, where I have more control over the investment options (though I don't think I can continue to contribute funds...?). The third option is cashing out, but I'll get heavily taxed and penalized. The one advantage of cashing out, however, would be that I could pay off $3,000 in credit card debt, and I figure the interest I'm being charged on that is probably more than the interest I'my making with my retirement funds.
Are there other options? Do I understand these three options correctly? What should I do?
2006-08-28
14:21:36
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17 answers
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asked by
Brian V
2
in
Investing