More than 1 in 4 Americans are raiding their retirement accounts after a coronavirus-related job loss

Share Post: facebook Created with Sketch. twitter Created with Sketch. linkedin Created with Sketch. mail Created with Sketch. print Created with Sketch.

More than 38 million people have filed for jobless claims since the coronavirus pandemic started.

The unexpected loss in income is causing many Americans to tap their retirement savings just to make ends meet.  And many people who lost a job — or have a spouse or partner whose income has declined — didn’t have much money saved in the first place.

Half of Americans who were recently furloughed or let go have saved less than $500 for retirement in the past year — and 70% have saved less than $1,000, according to a report by fintech firm SimplyWise. Of those who have an individual retirement account, 401(k) plan or retirement savings account, 1 in 5 now plan to tap those funds.

“It’s hard to think about the future when the present feels impossible, particularly given this unprecedented crisis,” said SimplyWise CEO Sam Abbas. “It’s already hard for Americans to save, let alone for their future and retirement.”

Continue Reading on CNBC

Articles linked to on this page are from third party sources. Opinions expressed by the authors may not be representative of CWM, LLC or its affiliates.

Share:
facebook Created with Sketch. twitter Created with Sketch. linkedin Created with Sketch. mail Created with Sketch. print Created with Sketch.
Share Post: facebook Created with Sketch. twitter Created with Sketch. linkedin Created with Sketch. mail Created with Sketch. print Created with Sketch.

RECENT POSTS

COVID’s Financial Toll Isn’t What You Think

By Erin Wood, Senior Vice President, Financial Planning and Advanced Solutions Just a few years ago, Rose retired with a decent-sized 401(k). With some careful budgeting and a part-time job, her retirement finances were on track. Rose was looking forward to traveling, reigniting her passion …

Emerging Financially Healthy After a Gray Divorce

By: Erin Wood, CFP®, CRPC®, FBS®, Senior Vice President, Financial Planning, Carson Group   Laura and Caroline are in their late 50s. Friends since meeting at a playgroup for their toddlers, both were in long-term, seemingly happy marriages.

Time to fly the nest: How young adults can find financial success

There’s something to be said for living with mom and dad. In fact, more and more young adults are opting to do just that thanks to things like student loan debt and high rents. Yet, there comes a time when they need to strike out on their own and become financially independent. Stephanie Ei …

1 2 3 5 6 7

Get in Touch

In just 15 minutes we can get to know your situation, then connect you with an advisor committed to helping you pursue true wealth.

Schedule a Consultation