More Workers Are Raiding Their 401(k)s as Average Balances Fall, Fidelity Says
Fidelity reports that average 401(k) balances fell 4% to $141,000 in Q1 2026 as market volatility from the Iran‑Israel conflict spurred more workers to tap retirement accounts. Hardship withdrawals rose to 2.5% of participants and 401(k) loan prevalence increased to 19.2%, indicating heightened financial strain. Despite these pressures, the average contribution rate edged up to a record 14.4%, just below Fidelity’s 15% target, showing many savers are still staying the course. The data highlight the tension between short‑term cash needs and long‑term retirement security.
Millions of People with Disabilities May Be Missing Out on This Little-Known Savings Tool
Millions of Americans with disabilities are missing out on ABLE accounts, a tax‑advantaged savings vehicle that lets them stash up to $100,000 without losing Medicaid or SSI benefits. Awareness remains low—only about 2% of employees know about ABLEs and just...
Iran War Market Jitters Offer Silver Lining for Investors
The Iran‑war‑induced market swing has been modest compared with past crises, with the S&P 500 dropping about 9% from its late‑January peak before climbing to fresh all‑time highs. The VIX spiked to its highest level since April 2025, underscoring heightened investor anxiety....
Treasury Department Announces New Series I Bond Rate of 4.26% for the Next Six Months
The U.S. Treasury announced that newly purchased Series I savings bonds will earn a composite rate of 4.26% from May 1 through October 31, 2026, up from the 4.03% rate that applied through April. The composite rate combines a 0.90% fixed component with...
In a Tight Job Market, Small Businesses May Offer Opportunities for New College Grads
In a tightening labor market, small businesses are emerging as a key hiring source for the 2026 college‑graduate class, with Gusto estimating nearly one million new‑grad positions. Average starting salaries at these firms rose to $65,734, modestly higher than last...
Fed Holds Interest Rates Steady: Here's What that Means for Credit Cards, Mortgages, Car Loans and Savings Rates
The Federal Reserve left its benchmark rate unchanged in the 3.5%‑3.75% target range, a decision likely made by Chair Jerome Powell in his final meeting. The hold reflects persistent inflation pressures tied to the Iran conflict and limited policy space...
This Free Tax Withholding Tool Makes It Easier to Update Your Paycheck — Who Should Use It
The IRS has released a free tax‑withholding estimator that generates a pre‑filled Form W‑4 (or W‑4P) to help workers adjust their 2026 paycheck withholdings. With 80 % of taxpayers earning W‑2 wages and many having over‑withheld in 2025, the tool is most...
Retirees Are Thinking of Annuities the Wrong Way — and It May Trip Them up, Advisors Say
Annuity sales are rising as retirees seek guaranteed lifetime income, but most buyers gravitate toward variable and indexed annuities instead of the lower‑cost, higher‑payout options like single‑premium immediate annuities (SPIAs) and deferred income annuities (DIAs). In 2025, consumers purchased roughly...
Why the Stock Market Is Hitting Records Despite Iran War
U.S. equities surged to fresh all‑time highs despite the Iran war, erasing an 8 % dip that followed the conflict’s onset. Analysts say investors are pricing a near‑term resolution and normal oil flows rather than the present geopolitical shock. The rally...
35% of Gen Z Homebuyers Are Single Women, Research Shows. Here’s Why They Need an Estate Plan
A National Association of Realtors report shows 35% of Gen Z homebuyers are single women, up from 30% a year earlier and the highest share among age groups. These buyers, aged 18‑26, often purchase their largest asset without an estate plan—60%...
Is an IRS Audit Less Likely Amid Agency Cuts? Some Issues Are Still ‘Low-Hanging Fruit,’ Expert Says
The IRS’s workforce shrank by roughly 27% in 2025, dropping to about 74,000 employees, yet audit risk for taxpayers has not vanished. Automated systems still flag mismatches between reported income and information returns, generating CP2000 notices and correspondence audits that...
Student Loan Forgiveness for Public Servants Could Be Pricier to Access, After New Changes
The Education Department announced that the Trump administration will no longer use the Saving on a Valuable Education (SAVE) plan’s low‑payment formula when calculating buyback offers for Public Service Loan Forgiveness (PSLF). This change means borrowers who relied on the...
Donating From Your IRA Already Has Tax Advantages. A Bipartisan Bill Would Expand Retirees' Options
Charitable donations from IRAs, known as qualified charitable distributions (QCDs), let retirees over 70½ transfer up to $111,000 per year directly to charities while excluding the amount from taxable income. A new bipartisan Senate bill would expand QCD eligibility to...
Older Women Set to Inherit Most of $54 Trillion in ‘Great Wealth Transfer’ to Widowed Spouses
The upcoming great wealth transfer, spanning 2024‑2048, will move roughly $124 trillion, with $54 trillion earmarked for widowed spouses and 95% of that flowing to women. Baby‑boomers and older generations represent the bulk of this $40 trillion destined for widowed women. Historically, many...
Trump Administration Has Scaled Back Oversight of Student Loan Servicers, Congressional Watchdog Finds
The Government Accountability Office (GAO) found that the U.S. Department of Education halted its accuracy and call‑quality assessments of federal student‑loan servicers in February 2025, shortly after the Trump administration cut roughly half of the Education Department’s staff. This scaling back...