Retirement Account and Emergency Savings? 401(k)s Increasingly Play Dual Role for Many Workers. - WSJ

Last year, a record 4.8% of workers in 401(k) plans took a hardship distribution for financial emergencies, up from a prepandemic average of about 2%, according to Vanguard Group. And nearly one-third of people who leave jobs annually liquidate their 401(k)s, paying taxes and often penalties rather than keeping the money in a retirement account.