The CARES Act Lets You Borrow More From Your 401(k) — but Your Employer May Not | Smart Change: Personal Finance

Why borrowing against your 401(k) can be a bad idea anyway

If you were planning to borrow a substantial amount of money from your retirement accounts and are stymied because your employer isn’t making larger loans available, this may actually be a blessing in disguise.

First and foremost, not being able to borrow as much could make you less likely to take out a loan you can’t pay back, which also could subject you to early withdrawal penalties. It also means you’ll leave more of your money invested to grow for your future.

Rather than get discouraged if your employer hasn’t raised the amount you can borrow, take the time to look into other options, such as reducing expenses or withdrawing funds with a plan to pay them back. Being restricted to a smaller loan may mean you’ll make more sacrifices now since you can’t access the full amount of funds you were hoping to, but take heart because you may end up better off in the end.

The $16,728 Social Security bonus most retirees completely overlook

If you’re like most Americans, you’re a few years (or more) behind on your retirement savings. But a handful of little-known “Social Security secrets” could help ensure a boost in your retirement income. For example: one easy trick could pay you as much as $16,728 more… each year! Once you learn how to maximize your Social Security benefits, we think you could retire confidently with the peace of mind we’re all after. Simply click here to discover how to learn more about these strategies.

Source Article