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It sounds awfully tempting.
As part of the CARES Act passed last week, some of the strictest rules about taking money out of your 401(k) are being temporarily lifted to help people affected by the coronavirus pandemic. But the changes drew some mixed reviews from financial planners. While the added flexibility may help some ride out the crisis, there was plenty of hand-wringing that the distribution limits were too high, and that people affected by coronavirus might be tempted to take out huge sums now—and, as a result, either put their eventual retirements in jeopardy or possibly leave themselves with a big tax bill.
Here’s a drill-down on what’s changed, and some guidance on how to approach your 401(k) in the wake of these changes. … Read More