401(k) vs. IUL: What Happens to Your Money in a Market Crash?

When markets crash, your 401(k) balance can drop overnight. That’s because it’s tied directly to stock performance — and you bear all the risk.

But there’s a smarter way to build retirement wealth.

An Indexed Universal Life (IUL) policy gives you a 0% floor, meaning your money doesn’t go backward when the market tanks. You get market-linked growth without market-linked losses.

401(k) vs. IUL at a Glance:

Feature401(k)IULMarket RiskHighNone (0% floor)Early Withdrawal PenaltiesYes (before 59½)NoTax-Free AccessNoYesLiving BenefitsNoYes

An IUL also allows withdrawals during times of critical illness or emergency — something your 401(k) simply can’t offer.

“If your 401(k) is your only plan, you're exposed to too much risk. The IUL gives you control and peace of mind, no matter what the market does.” — Brent Buffone

➡ Curious if an IUL makes sense for your situation?