Early withdrawals can shrink your 401(k) savings. See how to calculate the IRS 10% penalty, and learn about exceptions, SECURE 2.0 updates, and penalty‑free alternatives.

A third of Americans’ financial assets are held in retirement plans, according to data from the Investment Company Institute. In September 2024, those accounts represented more than $42 trillion in ...

This new rule will give families more flexibility by allowing some people to tap into their retirement savings early without the usual penalty, to help cover the cost of long-term medical care even ...

Withdrawing your 401(k) early may offer a way out of a tricky financial situation, but early withdrawals generally come with consequences too. If you withdraw money from your 401(k) before you reach ...

The association reports that in 2024, there were more than 70 million active participants in employer-sponsored 401(k) plans and millions of former employees and retirees who benefited from such plans ...

Annuities are long-term investment products designed for retirement purposes. When you purchase an annuity, you enter into a contract with an insurance company, providing you with regular income ...

Most 401(k) plans allow workers to withdraw money early. Early withdrawals are typically taxed as income and may be subject to a 10% penalty. The IRS waives the 10% penalty in certain circumstances.

Retirement no longer feels far off for Generation X – those born between 1965 and 1980. A fortunate few may have already exited the workforce and many more will follow in the next two decades. Early ...

During challenging financial times, people often consider withdrawing money from their 401(k) plans. Balances in 401(k) plans are deceiving. They are not like checking accounts where what you see is ...

Early withdrawal penalties typically range from 90 days to 365 days’ worth of interest. Longer-term CDs often come with steeper early withdrawal penalties than their shorter-term counterparts. In some ...