04.07.25

Financial Stress Has More Americans Tapping Their 401(k)s

by: Suzanne Wooley; Sonali Basak

Hardship withdrawals from 401(k)s are running about 15-20% above the historical norm, Empower CEO Ed Murphy said in a Bloomberg TV interview. Experts say an increase in withdrawals can be explained, in part, by newer rules making it easier to withdraw funds and the fact that the trend of automatically enrolling employees into 401(k) plans has created a bigger pool of savers. However, the uptick also follows an increase in consumer prices.

Read the full article on Bloomberg