Is it possible to stop making payments to retirement fund for the time being?
Date: Mon, 04/20/2020 - 01:31
The CARE Act allows you to
The CARE Act allows you to withdraw up to $100,000 from your retirement funds without any penalty. This includes the 401(k) retirement accounts also. The government has given you this option to help you cover your expenses. But, don't go overboard and withdraw a lot of money from your retirement savings accounts. And yes, you can stop making payments to your retirement savings accounts for the time-being and use it to boost your emergency fund.
You can withdraw money now,
You can withdraw money now, but it s up to $100,000. However, it is recommended to use emergency fund instead of retirement savings.
If you are asking about
If you are asking about whether or not to continue making payments to your retirement fund, then I would say, do not stop if you can continue with the payments. It will ultimately come to your financial benefit in the future.
So, if you can manage making the payments by changing your lifestyle, do it!
Hi Sammie!
Hi Sammie!
In case, you do not have a good amount in the bank for now due to the coronavirus outbreak then you can stop funding your 401(k) or IRA for the time being.