Retirement income

Amid economic uncertainty of the pandemic and following the passage of the SECURE Act, momentum could be building for retirement income in workplace plans.

Early retirement has been a key driver in the decline in labor-force participation due to COVID-19.

An early look at the impact from the economic shutdown was not as bad as feared, while industry insiders see opportunities for advisers and sponsors to talk up the value of retirement and emergency savings.

Americans’ retirement savings are increasingly threatened by disabilities that temporarily keep employees out of work by turning to hardship withdrawals from retirement plans.

HSA spending is more flexible than ever; learn how employees can make the most of them amid coronavirus.

For one, clients will owe taxes still on the distributions, unless they recontribute the money into the account within three years.

These direct payments are intended to provide direct assistance to American taxpayers who have lost wages, jobs or opportunities because of COVID-19. But there is some fine print.

Older clients are advised to take extra steps to protect their finances as the current crisis may leave them prone to making poor financial decisions.

Clients are advised to minimize spending and tap possible sources of cash and credit, including their tax refund.

“Find ways to generate income,” says one financial planner.