Tapping into retirement savings doesn't have to be 'the end of the world.' How to decide if it's right for you

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Tapping into retirement savings doesn't have to be 'the end of the world.' Here's how to decide if it's right for you. investinyou (In partnership with acorns.)

. Under normal circumstances, you can take up to $50,000 or 50% of your vested account, whichever is less. The CARES Act temporarily upped that to $100,000 or 100% of your vested account, whichever is less."It really comes down to a lot of personal preference and personal situation," Voris said.

"Start with the income coming in and put down all of your absolutely necessary expenses, such as rent, car payment, health insurance, loans and food," said Chad Parks, founder and CEO of Ubiquity Retirement + Savings.If you have a negative balance and don't expect a change in situation anytime in the near future, then come up with what you'll need to get by for six to nine months, he advises.

Nearly two-thirds of plan sponsors are allowing participants to take the distributions, according to a That means either you, your spouse or dependents have been diagnosed with the disease, or you are experiencing "adverse financial consequences" as a result of being quarantined, furloughed, laid off or having had your hours reduced. It also applies to those who have been unable to work because of lack of child care or if you had to close or reduce the hours of your business.

 

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