December 26, 2022
Between market volatility and inflation, 2022 was a stressful year financially for many of us.
So, it’s no surprise that readers were looking for 401(k) articles to help them understand what they should and should not do when it comes to their retirement savings.
401(k) balances fell, and it raised alarm bells for investors.
However, “The majority of retirement savers continue to contribute, Fidelity found. The average 401(k) contribution rate, including employer and employee contributions, held steady at 13.9%, just shy of Fidelity’s suggested savings rate of 15%.”¹
But, at the same time, there are still many who are not prepared for retirement.
Schwab Retirement Plan Services found, “Nearly 7 in 10 (67%) Americans between ages 50 and 74 don’t have a formal retirement plan, while 4 in 5 lack retirement planning basics on how to be financially secure.”²
Whether you are in the camp of those who continue to contribute to retirement or among those who don’t have a formal retirement plan, 401(k) articles prove useful in guiding the financial decisions you make today for your future.
Read on to discover which 401(k) articles were the most popular in 2022.
#1 What Happens If I Leave My Job with a 401(k) Loan?
With millions of people leaving their jobs in 2021 (aka The Great Resignation), it’s not surprising that one of the top 401(k) articles sought out was what happens to a 401(k) loan if you leave a job.
401(k) loans are attractive because they have low-interest rates, and you pay said interest to yourself.
However, if there is a possibility you may leave your job in the near future, you need to be familiar with all the rules of a 401(k) loan.
If you leave a job with an outstanding 401(k) loan, you may be on the hook for paying the loan off in a much shorter period or face penalties.
This article explains the cost of leaving a job with a 401(k) loan as well as tips for paying off the loan faster.
Read More: What Happens If I Leave My Job with a 401(k) Loan?
#2 How to Read a 401(k) Statement and Understand It
401(k) balances experienced some changes this year due to market volatility, which is why 401(k) articles about how to read statements were popular.
People wanted to understand what was happening with their 401(k) accounts, and that starts by knowing how to read the statements.
The numerous items covered in a 401(k) statement can feel overwhelming, which is why this article is a must-read.
It takes you through a 401(k) statement one section at a time.
Read More: How to Read a 401(k) Statement and Understand It
#3 What Every Investor Needs to Know about Rebalancing a 401(k)
If there was ever a year to learn about rebalancing a 401(k), 2022 was the year!
Failing to regularly rebalance your 401(k) portfolio often results in significant losses during bad markets and opens you up to more risk exposure than you initially intended.
And, you may be missing out on earning more and keeping more of your retirement savings
Read More: What Every Investor Needs to Know about Rebalancing a 401(k)
#4 Should I Pay Off Debt or Contribute More to My 401(k)?
One of the most sought-after 401(k) articles deals with a question we hear every year: Should I pay off debt or contribute more to my 401(k)?
It’s not a simple answer.
It really depends on the individual.
For example, you need to consider how much debt you have and whether or not you will have enough money to cover retirement income (Social Security plus 401(k) distributions) to cover monthly debt payments.
Additionally, age matters! Five years of lower age contributions for one age may not matter quite as much as another.
This article carefully covers the pros and cons, and how to pay down debt and boost contributions at the same time.
Read More: Should I Pay Off Debt or Contribute More to My 401(k)?
#5 What Should I Do with My 401(k) Right Now?
Between the market volatility and fear of unemployment, this 401(k) article proved popular.
Financial advisors get asked this question more frequently during years like 2022, and their answer is not to make fear-based decisions.
This article provides valuable insights into battling fear to stay in control of your financial future.
Read More: What Should I Do with My 401(k) Right Now?
#6 Secure Act 2.0: How It May Impact Your 401(k) Savings
The Securing a Strong Retirement Act of 2022 was passed on March 29 and is referred to as the Secure Act 2.0.
The goal of the bill is to improve retirement savings plans for Americans.
This 401(k) article breaks down the main provisions of the Secure Act 2.0 bill in an easy-to-understand way.
Read More: Secure Act 2.0: How It May Impact Your 401(k) Savings
#7 5 Tips for Those Over 40 to Get the Most out of a 401(k)
If you are over 40 years old and looking for ways to boost your retirement savings, this 401(k) article is for you.
It provides 5 clear tips to improve your financial future, including how to put a retirement plan in place.
Additionally, this article covers the importance of boosting contributions, rebalancing your 401(k), and seeking expert advice.
Read More: 5 Tips for Those Over 40 to Get the Most out of a 401(k)
#8 Should I Borrow from My 401(k) to Start a Business?
Have you ever considered using your 401(k) for some purpose other than retirement?
One of the most common reasons is for starting a business. But is this the right decision?
It comes down to how much you are willing to risk.
Starting your own business is a risk, and using money that should set you up in the future puts your future at risk, too.
In addition to the basic risks, there are rules when it comes to withdrawing money from your 401(k), as well as rules regarding borrowing from your 401(k).
This article breaks it down in detail.
Read More: Should I Borrow from My 401(k) to Start a Business?
#9 6 Questions to Ask Before Signing Up for a 401(k) Plan
Don’t make the mistake of believing every 401(k) plan is the same. They are not. Every 401(k) plan is unique.
But what are the most important things you should be looking for before signing up for a 401(k) plan?
This 401(k) article highlights the 4 most important questions to ask to make an informed decision.
Read More: 6 Questions to Ask Before Signing Up for a 401(k) Plan
#10 Should I Prioritize Retirement Savings over My Kids’ College Tuition?
The final 401(k) article of 2022 is one that is popular year after year – parents wanting to know whether they should save for retirement or their children’s college.
We get it.
The cost of college is ridiculously high, and parents don’t want their children to be saddled with debt as they enter adulthood.
However, this 401(k) article explains why it is more important for parents to prioritize their own financial futures.
Read More: Should I Prioritize Retirement Savings over My Kids’ College Tuition?
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