The action to take is: immediately rollover

Assume the same scenario but rather than leave everything in the 401(k) to grow, you instead immediately rollover your entire balance to two separate IRAs using an in-service withdrawal on January 1st, 2019.

According to the IRS guidance, the pre-tax contributions can go directly into a Traditional IRA and the after-tax contributions can go directly into a Roth IRA.

Here’s what your two IRA accounts would look like when you finally decide to take your money out: