{"id":46993,"date":"2026-03-09T21:04:09","date_gmt":"2026-03-09T21:04:09","guid":{"rendered":"https:\/\/diyhaven858.wasmer.app\/index.php\/4-of-employers-offer-new-emergency-savings-plans-for-workers-how-to-save-for-emergencies-with-or-without-your-company\/"},"modified":"2026-03-09T21:04:09","modified_gmt":"2026-03-09T21:04:09","slug":"4-of-employers-offer-new-emergency-savings-plans-for-workers-how-to-save-for-emergencies-with-or-without-your-company","status":"publish","type":"post","link":"https:\/\/diyhaven858.wasmer.app\/index.php\/4-of-employers-offer-new-emergency-savings-plans-for-workers-how-to-save-for-emergencies-with-or-without-your-company\/","title":{"rendered":"4% of employers offer new emergency savings plans for workers. How to save for emergencies with or without your company"},"content":{"rendered":"<p> <br \/>\n<\/p>\n<div xmlns:default=\"http:\/\/www.w3.org\/2000\/svg\" data-testid=\"article-body\">\n<div class=\"bodyItems-wrapper\">\n<p class=\"yf-1fy9kyt\"><!-- HTML_TAG_START -->With the cost of living increasing nearly 25% since December 2020 (1), many Americans are struggling to get by.<!-- HTML_TAG_END --><\/p>\n<p class=\"yf-1fy9kyt\"><!-- HTML_TAG_START -->And when Americans struggle to afford basic living essentials, saving money can become extremely difficult. In fact, just 47% of Americans report that they\u2019ve saved enough cash to cover a $1,000 emergency expense, according to a Bankrate survey (2).<!-- HTML_TAG_END --><\/p>\n<p class=\"yf-1fy9kyt\"><!-- HTML_TAG_START -->Meanwhile, new research from Vanguard shows that very few employers are combining their 401(k) plans with new emergency savings options for employees (3). Here\u2019s what the Secure Act 2.0 provisions allow companies and workers to do, and why many employers are slow to adopt these options.<!-- HTML_TAG_END --><\/p>\n<p class=\"yf-1fy9kyt\"><!-- HTML_TAG_START -->In 2024, the Secure Act 2.0 offered two new options for employers to help their workers with saving money for emergencies.<!-- HTML_TAG_END --><\/p>\n<p class=\"yf-1fy9kyt\"><!-- HTML_TAG_START -->The first option is the ability to withdraw $1,000 per year from retirement savings, penalty-free (and pay it back over a three-year period). The second option is an emergency savings account that\u2019s linked to a 401(k), with a contribution limit of up to $2,600 for 2026 (4).<!-- HTML_TAG_END --><\/p>\n<p class=\"yf-1fy9kyt\"><!-- HTML_TAG_START -->However, only 4% of companies have adopted the emergency 401(k) withdrawals, Vanguard found, while the emergency savings accounts that are linked to 401(k)s \u2014 which are known as pension-linked emergency savings accounts \u2014 have generated \u201cminimal to no interest from plan sponsors.\u201d<!-- HTML_TAG_END --><\/p>\n<p class=\"yf-1fy9kyt\"><!-- HTML_TAG_START -->The reluctance to adopt these emergency savings options seems to be that many companies (94%, as of 2024) already have some emergency withdrawal plans in place, according to Vanguard (5). Another issue could be that among the 4% of companies that have adopted the Secure Act 2.0 options, only 0.4% of participants have initiated an emergency withdrawal.<!-- HTML_TAG_END --><\/p>\n<p class=\"yf-1fy9kyt\"><!-- HTML_TAG_START -->CNBC also found that it may be difficult for companies to administer these plans, as high-earning employees \u2014 those earning $160,000 or more per year \u2014 are excluded from eligibility, while other managed solutions are already offered (6).<!-- HTML_TAG_END --><\/p>\n<p class=\"yf-1fy9kyt\"><!-- HTML_TAG_START -->\u201cIf a plan sponsor wants to move forward with an emergency savings program at their company, they\u2019re going to analyze the options available, and part of that [analysis] will be what\u2019s easiest to implement,\u201d said Will Hansen, executive director of the Plan Sponsor Council of America.<!-- HTML_TAG_END --><\/p>\n<\/p><\/div>\n<p>   <button class=\"secondary-btn fin-size-large readmore-button    rounded   yf-r7dg9i\" data-ylk=\"elm:readmore;itc:1;sec:content-canvas;slk:Story%20Continues\" data-yga=\"{&quot;yLinkElement&quot;:&quot;readmore&quot;,&quot;yModuleName&quot;:&quot;content-canvas&quot;,&quot;yLinkText&quot;:&quot;Story Continues&quot;}\" aria-label=\"Story Continues\" title=\"Story Continues\"> <span>Story Continues<\/span> <\/button> <\/p>\n<div class=\"read-more-wrapper\" style=\"display: none\" data-testid=\"read-more\">\n<p class=\"yf-1fy9kyt\"><!-- HTML_TAG_START -->\u201cA $1,000 withdrawal is easier than a [401(k)-linked account] and an account not affiliated with the plan could be an easier feature as well.\u201d<!-- HTML_TAG_END --><\/p>\n<p class=\"yf-1fy9kyt\"><!-- HTML_TAG_START --><strong>Read More: The average net worth of Americans is a surprising $620,654. But it almost means nothing. Here\u2019s the number that counts (and how to make it skyrocket)<\/strong><!-- HTML_TAG_END --><\/p>\n<p class=\"yf-1fy9kyt\"><!-- HTML_TAG_START -->While 27% of Americans reportedly have enough emergency savings to cover six months of expenses, 24% have no emergency savings at all, according to Bankrate (2).<!-- HTML_TAG_END --><\/p>\n<p class=\"yf-1fy9kyt\"><!-- HTML_TAG_START -->What\u2019s worse, 29% of Americans say they have higher credit card debt than emergency savings, a situation that could prevent them from paying off debt if a financial emergency were to arise.<!-- HTML_TAG_END --><\/p>\n<p class=\"yf-1fy9kyt\"><!-- HTML_TAG_START -->In general, financial experts recommend having three to six months\u2019 worth of living expenses in your emergency fund in case of job loss, unexpected expenses or a health scare.<!-- HTML_TAG_END --><\/p>\n<p class=\"yf-1fy9kyt\"><!-- HTML_TAG_START --><strong>Related:<\/strong> No savings yet? It&#8217;s not too late to start<!-- HTML_TAG_END --><\/p>\n<p class=\"yf-1fy9kyt\"><!-- HTML_TAG_START -->While few employers are taking advantage of the Secure Act 2.0\u2019s new options, they seem to be aware of the fact that emergency funds are essential. With this in mind, you can ask your employer about emergency savings programs that it offers, or advocate for one through payroll deduction.<!-- HTML_TAG_END --><\/p>\n<p class=\"yf-1fy9kyt\"><!-- HTML_TAG_START -->Some workers may feel that another deduction \u2014 coming on top of health insurance, taxes, 401(k)s and other line items \u2014 will put a serious dent in their monthly budgets, but modest contributions to an emergency savings program could save them from going into debt down the road. Plus, automating the contributions takes some of the sting out and ensures a disciplined approach to saving.<!-- HTML_TAG_END --><\/p>\n<p class=\"yf-1fy9kyt\"><!-- HTML_TAG_START -->If your employer is reluctant to offer an emergency withdrawals or savings program, it\u2019s up to you to set aside funds each month, just as you would with contributions to your 401(k). It\u2019s wise to choose a high yield savings account so that you can earn interest on your growing nest egg, but you can also choose to use savings vehicles like a certificate of deposit (CD) \u2014 just remember that this option requires locking in your money for a set period.<!-- HTML_TAG_END --><\/p>\n<p class=\"yf-1fy9kyt\"><!-- HTML_TAG_START -->Finally, if you\u2019re struggling to find extra money in your budget for savings, reviewing your spending carefully each month (with an app or on paper) can give you insight into where to trim so that you can contribute to your emergency fund. Even $100 a month can add up over time, while giving you peace of mind the next time you need to take your car to the mechanic or bring a sick dog to the vet.<!-- HTML_TAG_END --><\/p>\n<p class=\"yf-1fy9kyt\"><!-- HTML_TAG_START -->Join 250,000+ readers and get Moneywise\u2019s best stories and exclusive interviews first \u2014 clear insights curated and delivered weekly. <strong>Subscribe now.<\/strong><!-- HTML_TAG_END --><\/p>\n<p class=\"yf-1fy9kyt\"><!-- HTML_TAG_START --><em>We rely only on vetted sources and credible third-party reporting. For details, see our<\/em> <em>editorial ethics and guidelines<\/em><em>.<\/em><!-- HTML_TAG_END --><\/p>\n<p class=\"yf-1fy9kyt\"><!-- HTML_TAG_START -->Federal Reserve (1); Bankrate (2); Vanguard (3, 5); IRS (4); CNBC (6).<!-- HTML_TAG_END --><\/p>\n<p class=\"yf-1fy9kyt\"><!-- HTML_TAG_START --><em>This article provides information only and should not be construed as advice. It is provided without warranty of any kind.<\/em><!-- HTML_TAG_END --><\/p>\n<\/p><\/div>\n<\/p><\/div>\n<p><br \/>\n<br \/><a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>With the cost of living increasing nearly 25% since December 2020 (1), many Americans are struggling to get by. And when Americans struggle to afford basic living essentials, saving money can become extremely difficult. In fact, just 47% of Americans report that they\u2019ve saved enough cash to cover a $1,000 emergency expense, according to a [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":46994,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_daextam_enable_autolinks":"","jetpack_post_was_ever_published":false,"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":"","jetpack_publicize_message":"","jetpack_publicize_feature_enabled":true,"jetpack_social_post_already_shared":true,"jetpack_social_options":{"image_generator_settings":{"template":"highway","default_image_id":0,"font":"","enabled":false},"version":2}},"categories":[10],"tags":[4747,469,177,4946,467,2814,129],"class_list":["post-46993","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-business-news","tag-bankrate","tag-dave-ramsey","tag-emergency-fund","tag-emergency-funds","tag-retirement-savings","tag-savings","tag-savings-account"],"jetpack_publicize_connections":[],"jetpack_featured_media_url":"https:\/\/diyhaven858.wasmer.app\/wp-content\/uploads\/2026\/03\/fe07798062415e466a7b28a41efcb45f.jpeg","jetpack_sharing_enabled":true,"jetpack-related-posts":[],"_links":{"self":[{"href":"https:\/\/diyhaven858.wasmer.app\/index.php\/wp-json\/wp\/v2\/posts\/46993","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/diyhaven858.wasmer.app\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/diyhaven858.wasmer.app\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/diyhaven858.wasmer.app\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/diyhaven858.wasmer.app\/index.php\/wp-json\/wp\/v2\/comments?post=46993"}],"version-history":[{"count":0,"href":"https:\/\/diyhaven858.wasmer.app\/index.php\/wp-json\/wp\/v2\/posts\/46993\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/diyhaven858.wasmer.app\/index.php\/wp-json\/wp\/v2\/media\/46994"}],"wp:attachment":[{"href":"https:\/\/diyhaven858.wasmer.app\/index.php\/wp-json\/wp\/v2\/media?parent=46993"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/diyhaven858.wasmer.app\/index.php\/wp-json\/wp\/v2\/categories?post=46993"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/diyhaven858.wasmer.app\/index.php\/wp-json\/wp\/v2\/tags?post=46993"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}