"401(k) at Risk: The Impact of the Debt Crisis"

The ongoing battle over the debt ceiling in Washington is causing financial market volatility, with stock values fluctuating and bond yields spiking. Retirement accounts, especially for baby boomers, are at risk if the stock market drops due to the politics of the debt limit. The threat is greatest for those nearing retirement age, who have less time to recover from a hit to their retirement accounts. Experts warn of serious risks to 401(k) and individual retirement accounts (IRAs) and the potential for a mass exit from financial markets if the debt fight causes panic among Americans.