For many of us, this wasn’t the plan. We didn’t anticipate (or budget for) leaving the workforce so early. We didn’t think in our late 50s, or mid-60s or even early 70s, we would lose our jobs or no longer be employable. However, the coronavirus has had other plans for us. With millions of Americans now out of work and potentially permanently laid off, it’s no wonder that so many of us are now entering retirement well before we expected to.

And that news is not good. Even before the financial collapse caused by the coronavirus, half of Americans ages 56-61 had less than $21,000 saved for their retirement, a paltry sum given retirement expenses. And estimates are that 40% of retired Americans over age 60 rely solely on Social Security for their income, with the median annual benefit being around $17,000/year. In essence, this spells the potential for real financial hardship for millions of Americans and their families as so many will be unable to maintain their current standard of living during retirement (and may come to rely on adult children for financial support).

We also know that even for those who did do some financial planning, retirement expenses often exceed retirement expectations. A recent survey conducted by the Employee Benefit Research Institute found that ⅓ of retirees had underestimated their retirement costs, for such expenses as health care, housing, and leisure activities. The Center For Retirement Research also found that events such as the death of a spouse or affliction with such medical problems as lung disease or stroke can create surprise expenses that undermine whatever financial planning was in place.

And while the current relaxation of retirement account penalties has allowed many to dip into their retirement accounts at this time (and many are definitely making withdrawals), the danger is there will be less money available down the road to meet basic retirement expenses. Not only are individuals tapping into their retirement accounts as a way to support themselves right now, but they are also not making contributions to those accounts so as to build up more assets for the proverbial “rainy day.” The implications of all this? According to labor economist and retirement expert Teresa Ghilarducci, another 3 million older workers will be forced into poverty during retirement as a result. She predicts that seniors will not only draw down their retirement accounts too early but will also take on more debt and collect social security at an earlier age, all having negative financial implications during retirement. Her advice? Tap into whatever government benefits and supports you can as soon as you can, and hang on, because it’s going to be a bumpy ride. For more of her insights, buckle up and read here.