I guess this could be a cautionary tale, but I am hoping it can be remedied.
I had a job that I am leaving, but I had took a 401k loan to put down on a house. I don't have the money to pay it back so my idea was this.
Borrow the balance that I owe from a bank, roll over the replenished 401k to an individual 401k (through LLC I am establishing) and then take another 401k loan out again and then pay of the bank loan. Can I open a individual 401k if I also have a full time job and the LLC will be on the side? Any funds I contribute to the individual 401k will be after taxes.
Take the tax hit.