Laid Off at 55? Here's What You Need to Know About Your 401(k).

Group 1 - The article discusses the challenges faced by employees aged 55 and older who are laid off, highlighting that age can be a factor in layoffs despite it being illegal [1] - It emphasizes the difficulty of finding new employment at this age, as many may not be ready to retire but struggle to reinvent themselves [1] Group 2 - The "rule of 55" allows individuals aged 55 or older to withdraw from their 401(k) without incurring a 10% early withdrawal penalty if they separate from their employer [4] - This rule only applies to the 401(k) from the most recent employer, while older 401(k)s or IRAs are still subject to penalties if withdrawn before age 59 and a half [5] - The article suggests that individuals with varying 401(k) balances should consider their financial situation carefully before making withdrawals, especially if they have limited emergency savings [6][7]