SECURE ACT 2.0
Changes to 401(k)s in 2025
The start of the new year is only two weeks away, and there are changes to those participating in a 401(k) plan that they need to know. As the result of the SECURE 2.0 Act of 2022, these new rules…
RMDs by year-end deadline
The IRS recently published a reminder for those aged 73 and older of the deadline to take required minimum distributions (RMDs) from individual retirement arrangements (IRAs) and other retirement plans. The SECURE 2.0 Act raised the age at which account…
What is the super catch-up?
Under the SECURE 2.0 Act of 2022, individuals aged 60-63 are eligible to participate in “super catch-up.” What is super catch-up? The super catch-up allows retirement savers to contribute an additional $11,250, on top of the standard $23,500 annual contribution…
New retirement saving and rule changes
Why is saving for retirement so hard? Most of us don’t make enough decisions with the future in mind, so it’s easier to do nothing than to make a change. However, saving and planning for retirement will be easier in…
The IRS has postponed the catch-up contribution requirements until 2026.
Recently, the IRS announced the new catch-up contribution requirement under the SECURE 2.0 Act. The new rule affects older, higher-paid 401(k) participants to make catch-up contributions into an after-tax Roth account instead of the pre-tax traditional accounts. Although Congress meant…
Retirement Savings Plans–Automatic Enrollment Favored
Passage of the SECURE 2.0 Act of 2022 last December appears to have ushered in a new wave of interest in automatic enrollment in employer-sponsored retirement savings plans, according to the 10th annual American Century® Retirement Study. As noted in a…
Secure 2.0 Act will benefit both employers and employees
The SECURE 2.0 Act is now law. The legislation provides a slate of changes that could help strengthen the retirement system—and Americans’ financial readiness for retirement. It will be easier to save and give more tax credits to small businesses;…
What Secure 2.0 Could Mean for Your Retirement Planning
The much-discussed $1.7 trillion spending bill signed into law in December, contained a lot of items subject to ongoing scrutiny but, for those deep into retirement financial planning, the Secure 2.0 provisions embedded in the details should be studied carefully.…
SECURE 2.0 Passes Senate
The United States Senate passed a $1.7 trillion omnibus package that funds the federal government through September. In that omnibus package was 100 pages of SECURE 2.0, which retains many provisions supported by the American Retirement Association. The retirement package…
CBO latest long-term Social Security projections
The Congressional Budget Office released its latest long-term Social Security projections earlier this week, and the news is not good. The CBO forecasts the Social Security trust fund will be depleted by 2033, resulting in a 23 percent cut in…