CARES Act 401(k) Resource Center

Tools and guidance to navigate the changing landscape in your financial benefits. Already a ForUsAll customer? Log in here

CARES Act & New 401(k) Benefits Watch the Webinar
general webinar
Get an in-depth explanation of how 401(k) provisions in the CARES Act could help your employees.
https://bit.ly/401KCOVID19
Watch Now
The US government recently passed the $2.2 trillion Coronavirus Economic Relief and Economic Security Act, also known as the CARES Act. Watch this webinar to understand the new benefits, who qualifies, and how you can advise employees.
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The CARES Act: New 401(k) Benefits
Watch this webinar to understand the new financial options made possible by the CARES Act for employees impacted by COVID-19.
Get a Custom Webinar for Your Team
Request a “virtual onsite” for your team with one of our financial advisors and retirement plan experts.
Schedule your very own engaging, interactive webinar for you and your employees. We will talk your team through the financial options available today, and how to make sense of them.
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Guide Your Employees With a Custom Webinar
Team sheltering in place? We’ll work with you to walk employees through current market conditions, the CARES Act, and their 401(k) options.
Watch the Layoffs & 401(k) Webinar
layoffs webinar
Your 401(k) benefit can become a compliance liability and headache during times of layoffs, furloughs, and staff transition. Don’t get unpleasantly surprised. Watch the webinar!
https://cdn2.hubspot.net/hubfs/5352904/Layoffs%20and%20Your%20401(k)_%20What%20You%20Need%20to%20Know.mp4
Watch Now
If any of your employees are participating in the 401(k) when they get laid off, you need to keep track of how it affects your plan. In this webinar, our Chief Investment Officer walks through common pitfalls and financial liabilities, the financial options that may be available to impacted employees under the CARES Act, and how to identify risks you need to raise with your executive team.
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Layoffs & Your 401(k): What You Need to Know
Layoffs can result in surprising costs and dangerous compliance issues. Make sure your 401(k) doesn’t become a liability.
Download the Employee 401(k) Options Flow Chart
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We give you simple guidelines for helping employees choose a loan, distribution, or both.
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Get the Flow Chart
For impacted employees, what they choose to do depends on how long they expect to stay at the company and how quickly they plan to pay the money back.
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Decisions, Decisions: Loan, Withdrawal or Both?
Help impacted employees understand their financial options with our user-friendly flow chart.
Download the CARES Act Rules and Options at a Glance
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Share this handout with employees impacted by COVID-19, so they can quickly understand CARES Act eligibility and options.
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Download Now
While it’s never advisable to lock in losses in a down market, the CARES Act provides a necessary option for the many people who have been impacted by the coronavirus.
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Financial First Aid Employee Handout
If any of your employees might be impacted by COVID-19, share this overview of the new financial options in their 401(k).
Get Your Team the CARES Act 401(k) Calculator
Give your employees an easy-to-use tool to see if they qualify for emergency loans or distributions from their 401(k).
Now, any employee who meets the CARES Act criteria can take a distribution or loan (or both) of up to $200,000 from their 401(k). Give this tool to your employees to help them see if they qualify, understand their options, and get started on accessing funds.
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CARES Act 401(k) Calculator
Enable employees to see if they qualify, understand what option is best, and gauge the impact to their retirement with our free online tool.
Give Your Team Access to Free Virtual Financial Advice
Make it simple for employees to see if they qualify for emergency loans or distributions, determine what path is best, and get started accessing funds.
DAVE is an award-winning, interactive virtual financial advisor, who has helped tens of thousands of Americans better understand their 401(k) options and take action to improve their financial future. Now, this CARES Act Virtual Advisor module will help your employees understand what to do, given the current situation with COVID-19.
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401(k) Calculator with Virtual Advisor
Let our virtual advisor, DAVE, walk employees through their options. With all the benefits of our 401(k) calculator, DAVE adds a human touch.
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From our blog

Emergency Planner
We explain the CARES Act, which enables employees to use their 401(k) to address financial hardships caused by the coronavirus.
MAR 31, 2020
As hard as it is to remain patient and calm, historically, there has never been a time that the US stock market has failed to rebound.
FEB 28, 2020
With RUN Powered by ADP® payroll integration, we are delivering on our promise to provide a seamless 401(k) administration experience.
APR 9, 2020

Frequently Asked Questions

How long do employees have to take advantage of these new provisions?

The CARES Act provisions currently expire on Sept 23, 2020 for loans and December 31, 2020 for distributions.

Does the CARES Act requirement for adverse financial consequences include pay cuts from the current employer?

Yes, adverse financial consequences generally include lost income from pay cuts, reduced hours, furloughs or layoffs.

Do employees have to provide documentation to prove that they have been impacted by COVID-19? If so, what?

While the CARES Act does not provide explicit documentation guidelines, most providers have adopted the view that employees simply need to “self-certify” that they meet the requirements.

A prudent self-certification process should:

(a) Have the employee attest to the specific reason they qualify for the distribution
(b) Document the steps the employer takes to verify what they can

For example, if an employee claims that they were sick with COVID-19, the employer does not need to demand to see the test results. Rather, the employer may rely on the employee’s attestation that they tested positive with a CDC-approved test. However, there may be some claims that, on their face, do not qualify. For example, if an employee were to self-certify that they lost their job, the employer should reasonably be expected to verify that the employee was in fact terminated. We recommend that employers develop, document and consistently apply a standard process for reviewing and approving these distributions.

What if an employee can’t get a test to prove they have COVID-19?

Currently, employees must have tested positive using a CDC-approved COVID-19 test to qualify for the new distribution benefits. However, given the challenges of receiving a COVID-19 test, we hope that subsequent guidance from the IRS may loosen these standards.

Can loss of income include the loss of a spouse's income, due to COVID-19?

No, for the purposes of qualifying for a distribution under the employee's plan, it cannot. The employee should reach out to the spouse's HR team to understand which CARES Act provisions the spouse’s employer will be supporting.

Can retirees that are still in the 401(k) plan take out a loan?

Generally, no. Most plans do not allow employees that have retired or been terminated to take out a loan.