Quantcast
Are you getting the best rate from your broker?
Compare your broker's rates now to find out if you can save money

Choose your broker below
Welcome to Dividend.com. Please help us personalize your experience.

Select the one that best describes you
Dividend logo

This hurricane season has been one to remember. That’s undoubtedly true for investors in Florida, Texas and all along the Gulf Coast. With a series of “once in 500-year” storms pounding America’s coast, that section of the country was left in ruins. The cleanup continues as does the mounting financial costs of Hurricane Harvey, Irma and the others.

For investors in these regions, even with proper insurance, there still might be bills to pay or other expenses that need to be taken care of, with some totaling tens of thousands of dollars.

And in that, investors might find themselves in a bind – a bind that can be broken by tapping their retirement savings early. With the Federal Government and the IRS looking to relax rules on withdrawing these assets for disaster purposes, this is going to be even more accessible.

But don’t do it.

While tapping retirement assets to pay for a disaster may seem like a good idea, it isn’t all it’s cracked to be, and it has serious financial implications.

Read here why it’s important to look beyond averages for retirement planning.

Providing Relief

It’s easy to see a 401(k) or retirement account as an easy source of cash to tap when things go wrong. After all, as of June 30, the average 401(k) account balance was $97,700 – not retirement ready, but still a decent sum of money. So when a job loss or hurricane interrupts regular life with a set of financial circumstances, it can be a tempting choice for investors to tap into these savings.

To read the Full Story, Go Premium or Log In

Popular Articles

Premium Shutterstock 470032862
News

Happy Birthday Roth

It’s time to say happy birthday. But we aren’t talking about Baby New Year. We’re talking about...

News

Orchid Island Capital Inc Sees a 21% Decrease in Dividend

Every day, companies across the globe announce upcoming dividend payouts. You can find the...

News

Procter & Gamble Co Leads 30 Stocks Going Ex-Dividend This Week

There are 30 stocks going ex-dividend this week starting Monday, Jan 15. For income investors...