I was fired from my job just 1 year before I was set to retire at 70. What happens to my retirement plan now?

Core Insights - The article discusses the financial challenges faced by individuals nearing retirement, particularly in light of unexpected job loss, and emphasizes the importance of financial planning and consulting with advisors to navigate these situations [3][4][18]. Financial Planning and Retirement Needs - A survey indicates that Americans believe they will need $1.26 million to retire comfortably, while the average retirement account balance for those aged 65 and older is only $299,442, which is 24% of the target figure [3]. - Nearly 60% of retirees retire earlier than planned, with 43% citing job loss or organizational changes as reasons [4][18]. 401(k) and Social Security Considerations - Individuals retain ownership of their 401(k) contributions even if terminated, and options include leaving the funds in the current plan, rolling over to an IRA, or taking a lump sum distribution [9]. - Claiming Social Security benefits can begin at age 69, with the potential for increased monthly benefits if delayed until age 70 [10]. Employment and Severance Insights - In at-will employment states, employers can terminate employees for legal reasons at any time, which may lead to considerations for negotiating severance packages [6][8]. - Severance pay is not mandatory but is customary for salaried employees, and the amount may vary based on tenure and position [7]. Investment Strategies Post-Retirement - Even after retirement, individuals can continue to build their investment portfolios through apps that round up purchases and invest the spare change [12][13]. - Diversifying investments into alternative assets like real estate and gold is suggested as a strategy to mitigate market volatility [14][15]. Common Challenges in Retirement Planning - A significant percentage of long-term employees experience damaging layoffs before retirement, highlighting the need for robust financial planning [18][19].