[lovcom]

You stop the 401k contributions and kill the debt because 21% to 29% interest on debt is more then any tax, interest benefits the 401k can provide.

Do the math, and if you do, you will find it is exceedingly silly to continue the contributions when one has a lot of consumer (non mortgage) debt hanging around his neck and massive componded interest rates.

One can always restart the 401k contributions after the consumer debt is killed, and if you do the math, one comes out way ahead and with less vulnerability to job loss.

The way to go, and in this order of priority:

1. Build minimal emergency fund.
2. Kill the consumer debt, all of it.
3. Maximize the emergency fund.
4. Restart retirement contributions.
5. Go and "sin" no more.

You do it all at the same time, you extend the time it takes to reach your goals by many years, of not decades.