A New Year, a New SECURE 2.0 Act of 2022

You may have heard that new legislation, the Consolidated Appropriations Act of 2023, passed which included the retirement bill, SECURE 2.0 Act of 2022 (SECURE 2.0).

While effective dates for SECURE 2.0’s provisions vary, it includes many changes for retirement-focused clients, including:

• Increases to required minimum distribution (RMD) age, indexed increases to catch-up limits, with special provisions for older individuals, and increases for qualified charitable distributions (QCDs)
• More flexibility and options for Roth accounts, such as 529-to-Roth transfers
• More access to retirement plans for certain individuals and additional exceptions to the 10% early distributions penalty, including an exception to pay for long-term care premiums
• Qualified student loan payments treated as employee retirement contributions for employer matching purposes
• Automatic enrollment in employer-sponsored 401(k) and 403(b) plans for most employers
• Changes for self-employed retirement savers
• Reduced penalties and limits on certain IRS claims

View our detailed highlights of what is changing below. We have also included some template language you can use to share this important information with clients.