Participants Have Plan Distribution Options During Hurricane Season
With tropical storm season causing extensive damage, it’s a good time to ensure plan participants know they can take out special disaster...
Tag: hardship withdrawals
Record Number of Participants Raised Deferral Rate in 2023, Vanguard Reports
On the other side of the equation, plan loans were up 12% year-over-year, and hardship withdrawals increased modestly.
401(k) Loans, Hardship Withdrawals at 2-Year High
Both loans and hardship withdrawals have increased to the highest rate since the pandemic, according to Empower’s annual retirement study.
Fidelity Sees Quarter-on-Quarter Decline in Retirement Balances
The third quarter also saw increases in withdrawals and loans as participants managed expenses amid inflation and higher borrowing costs.
IRS Provides Tax Relief for Hawaii Wildfire Victims
Victims of the wildfires on the islands of Maui and Hawaii are eligible for Internal Revenue Service tax relief, including waiving the...
BofA: Hardship Withdrawals Up 36% As More Prioritize Short-Term Needs
Distributions were down and hardship withdrawals were up, though overall saving rates remained steady, according to the bank’s latest participant...
Betterment, Vanguard Find Workers Tapped Retirement Savings in 2022
Workers are increasingly dipping into savings to cover costs that are increasing due to inflation, creating a moment for advisers...
Workers, Employers, Contributed to Retirement Plans at Record Rates
Retirement contribution rates reached record highs, with combined worker and employer contributions equal to 13.9% of pay in 2021, new...
Improving Outcomes | Emergency Funds
Life Happens
When participants have no choice but to draw from their retirement plan.
A Reminder to Avoid Fraudulent Hardship Withdrawals
An individual in Ohio was recently indicted by a grand jury on charges that he fraudulently claimed the assets he...
How to Prevent Retirement Plan Leakage
Educating participants about the importance of remaining committed to retirement savings and of the value of consolidating accounts is a...
Coronavirus Hardship Withdrawals, Taxes and Your Retirement Plan Clients
Coronavirus-related withdrawals made in 2020 were a financial lifeline for some, but they could also turn into a major tax...
The Year in Hardship Withdrawals and Leakage
Recordkeepers say their worst fears about plan leakage during 2020 have not come to pass, and in fact, the vast...
Servicing Strategies
Compliance When It’s Tough
Advisers should scope out any plan errors to keep their clients on course.
IRS Expands Coronavirus Loan, Distribution Relief
The Internal Revenue Service is expanding the categories of individuals eligible for special loans and distributions and providing updated guidance on the tax treatment of these distributions and...
What Constitutes Retirement Plan Leakage, Really?
Depending on how exactly one defines the term, estimates of 'leakage' from defined contribution retirement plans vary considerably.
Warn Your Clients: Don’t Abuse Coronavirus Hardship Withdrawals
Though retirement plans can allow individuals to self-certify that they qualify for a penalty-free coronavirus-related distribution, should the IRS discover...
In Times of Stress, Timely Communications Make a Big Difference
New data shows the education and guidance firms are providing is helping individuals to stay the course.
MassMutual Removes Fees on Hardship Distributions and Loans
COVID-19-related distributions will be capped at $100,000 with no mandatory tax withholding requirements and the ability to repay them.