I made my move towards early retirement 2 years ago, I'm 42 father of 4 and still married. I worked for a company that has an ESOP for 18 years, I relocated from Boise, Idaho to Sacramento, CA. and have lived in Sac for 10 years now.
My ESOP hit 1,000,000 in 2007 and I terminated my employment. I'm still working in Electronics Service Repair with another company now, waiting to get my ESOP. I have to wait 58 months. 1st year it increased to 1,300,000, this year which ends in Mar. 31st I should be at 1,600,000+ (grocery giant which is breaking sales records to this date). They are starting to pay off ESOP's early and I might get paid out anytime in the next 3 years. My questions.
1. I want to move back to Idaho, but I have a mortgage of $435,000 on a house that is now worth around $100,000 less than that in Sac, what should I do? This is of course after I get paid out.
2. I want to roll over most of the money into a 72t, but withdraw enough to either pay the difference on my CA home and sell it, or Pay a large down on my house in ID and rent the CA home, and to pay the taxes and penalties too. I know its crazy to pay all those penalties and taxes, but I am open to any suggestions.
3. My wife and I will still work, she will keep her job and relocate to ID and keep benefits, I will get an ordinary job maybe part time, but away from repair, it will be like early retirement believe me. What do you think of my plan?
Thanks in advance for any advice and suggestions,
Ray
My ESOP hit 1,000,000 in 2007 and I terminated my employment. I'm still working in Electronics Service Repair with another company now, waiting to get my ESOP. I have to wait 58 months. 1st year it increased to 1,300,000, this year which ends in Mar. 31st I should be at 1,600,000+ (grocery giant which is breaking sales records to this date). They are starting to pay off ESOP's early and I might get paid out anytime in the next 3 years. My questions.
1. I want to move back to Idaho, but I have a mortgage of $435,000 on a house that is now worth around $100,000 less than that in Sac, what should I do? This is of course after I get paid out.
2. I want to roll over most of the money into a 72t, but withdraw enough to either pay the difference on my CA home and sell it, or Pay a large down on my house in ID and rent the CA home, and to pay the taxes and penalties too. I know its crazy to pay all those penalties and taxes, but I am open to any suggestions.
3. My wife and I will still work, she will keep her job and relocate to ID and keep benefits, I will get an ordinary job maybe part time, but away from repair, it will be like early retirement believe me. What do you think of my plan?
Thanks in advance for any advice and suggestions,
Ray