3 Ways Being Unemployed Could Hurt Your Retirement

The COVID-19 crisis has driven tens of millions of people into unemployment, and while the near-term repercussions may be obvious, the reality is that being out of work for a lengthy period could prove problematic in terms of retirement, too. Here are three repercussions to keep on your radar.

Your Social Security benefits are calculated based on your wages during your 35 highest-paid years in the workforce. If you don't work a full 35 years, you'll have a zero factored in for each year you're without an income -- but if you're unemployed for a longer period of time, you might struggle to reach that 35-year-mark. This especially holds true if you've already taken time out of the workforce (say, to raise children, or for another purpose).

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Source Fool.com