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Show Notes
Another round of retirement changes are on the way after President Biden signed a spending bill in December 2022 that included the SECURE Act 2.0. Retirees and pre-retirees need to understand what this legislation means, how it might impact you, and what planning opportunities this could open up.
In the first part of this two-part series, we detailed the changes coming to required minimum distributions and Roth accounts. In this episode, we’ll work our way through more of the planning items in SECURE Act 2.0, including spousal IRAs, qualified charitable distributions, catch-up contributions, emergency savings accounts, and required minimum distributions.
There’s a whole lot to process but we hope this two-part series will help highlight the planning opportunities that you might be able to take advantage of. If you haven’t met with your advisor yet, do that early this year so you can get ahead of these changes.
Here’s some of what you’ll learn in this episode:
- How has the spousal IRA changed and what that means in different situations? [3:08]
- Catch-up contributions in IRAs are now going to be indexed for inflation. [9:24]
- In 2025, those aged 60-63 will be able to contribute more than the catch-up contribution. [13:29]
- Starting in 2024, the max amount you can use for a qualified charitable distribution will be indexed for inflation. [15:58]
- The penalty for failing to take your RMD will be less starting in 2023. [17:27]
- There are now more opportunities to take out emergency money from your retirement accounts early without penalty. [20:13]
- New opportunities to pay off student loans through employment. [24:12]
Thanks for checking out this episode of the podcast. If you’d like to learn more about financial and retirement planning, check out our YouTube channel here.
