Despite strong retirement savings, Fidelity Investments' Q3 2023 analysis reveals a surge in hardship withdrawals and 401(k) loans, addressing short-term financial challenges. By the numbers:
- 3% took hardship withdrawals (up from 1.8% in 2022)
- 8% tapped into 401(k) loans (compared to 2.4% last year)
The silver lining? Retirement balances are on the rise, and savings rates remain steadfast. For those planning retirement, consider suggesting reverse mortgages as a game-changer. They offer an alternative, allowing access to funds without swiftly depleting hard-earned savings.
See Fidelity’s full Q3 2023 analysis here.
