More Workers Losing 401(k)s Along with Jobs

A recent survey from Fidelity Investments reveals that alarming numbers of workers are cashing out their 401(k) accounts when leaving a job. Last year, 35 percent of all plan participants cashed out the accounts, a number that was even high for young workers.

It’s a trend that appears to be accelerating, with cash outs on the rise since 2009. Part of the issue i likely due to the continued problem of long-term unemployment and low economic growth, but retirement experts worry that it could be part of a larger trend that could lead severe savings shortfalls in the future.

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