Comments on: How Covid Is Changing Americans’ Retirement Plans

By: Elizabeth

Elizabeth — Fri, 26 Feb 2021 20:07:45 +0000

In reply to Joel. Guns rarely depreciate but yeah the Rolex that isn't the best move.

By: Joel

Joel — Tue, 23 Feb 2021 18:52:03 +0000

In reply to J. Money aside, the pandemic has reminded us all how precious and short life actually is. Glad your boss pulled the trigger with retirement if that was his goal anyway :) Glad to hear you weathered 2020 just fine too, J!

By: J

Tue, 23 Feb 2021 18:21:24 +0000

This was a really interesting article. Thanks for sharing! We weathered 2020 from a financial perspective just fine. My direct boss was already planning to retire in a few years. I know he starting banking vacation days like crazy just to help create another financial buffer. But after losing his young nephew to a freak drowning accident and everything going on with Covid, he just decided to pull the plug and retire in the Fall. His thoughts were more along the lines of you just don’t know how much time you’re going to have left, and after all these decades he was just ready to be done with it. I still miss getting to talk to him, but I’m glad he was able to pull the plug.

By: Joel

Joel — Tue, 23 Feb 2021 15:05:30 +0000

In reply to Liz. haha I'm right there with ya. Shoulda woulda coulda bought more at the bottom! :)

By: Joel

Joel — Tue, 23 Feb 2021 15:03:38 +0000

In reply to David @ Filled With Money.

There were people that answered “I sold my investments, but have since re-invested at least a part of it”. It’s not a huge group, but this tell me there was some regret taking money out.

Retirement accounts are usually a 1 way street though. If you withdraw from a 401k or IRA and don’t return the money within a short time, you’re stuck with a taxable event and it not earning tax free growth ever again. You can’t just put it back.

By: Joel

Joel — Tue, 23 Feb 2021 14:56:21 +0000

In reply to Bashy. Me too my friend.

By: Joel

Joel — Tue, 23 Feb 2021 14:56:05 +0000

In reply to Adam. Agreed. Converting appreciating stuff into DEpreciating stuff... It's the opposite direction. :(

By: Adam

Adam — Tue, 23 Feb 2021 14:31:30 +0000

I appreciate all this data and how you presented it — thanks for the topic! A friend posted on Facebook a few months ago asking whether he should take advantage of no-penalty distributions and turn his orphaned 457b assets from two jobs ago into a Rolex and a pistol. I somehow managed to avoid rolling my eyes out of my head while explaining that a 457b is worth keeping precisely because there’s never a penalty on distributions (unlike a 403b or 401k). If our retirement assets were held entirely within a 457b instead of 401k and IRA plans, that benefit would shave literal years off of our working career!

I guess consumers are what make our stocks rise, but blowing retirement assets on toys makes my head hurt.

By: Bashy

Bashy — Tue, 23 Feb 2021 11:49:44 +0000

Hope this pandemic will be over soon. Thanks for sharing with us.

By: David @ Filled With Money

David @ Filled With Money — Tue, 23 Feb 2021 01:04:57 +0000

I wonder if the people who withdrew from their 401k’s are regretting taking the money out. Hindsight is always 20/20 but I can’t imagine not being invested all throughout last year. Heck, I considered taking money out myself but I’m so glad that I didn’t pull the trigger due to my laziness.

Interesting data points to consider.