When COVID-19 hit and threw the nation into economic turmoil, many workers were left to manage their own private financial crisis, and dipped into retirement savings to survive. Now, they’re regretting that decision.
Thirty-three percent of employees withdrew or borrowed from their 401(k) or IRA in 2020, according to a poll conducted by Kiplinger and wealth management firm Personal Capital. About 47% of employees who took a retirement loan say they ended up taking more than they needed, according to new research from Voya Financial. Fifty-nine percent wish they had consulted with a financial professional before making the decision.
