Need Cash to Rebuild After a Hurricane? Don’t Forget Your 401(k)

Victims recovering from the destructive path Hurricanes Helene and Milton left across the southeastern US can tap their 401(k)s to cover the cost of repairs and temporary housing if their employers opt into a little-known IRS program.

Benefits advisers whose plan clients have operations in states such as Florida and North Carolina are receiving an influx of calls about new optional tax-qualified disaster relief Congress passed under its expanded retirement access law in 2022.

For companies that adopt the new measures, their workers in a federal disaster area can withdraw up to $22,000 penalty-free from a qualified 401(k), 403(b), or ...