The SECURE Act 2.0, signed into legislation in December 2022, brings about important adjustments to retirement financial savings and planning in the USA. These adjustments are designed to make it simpler for Individuals to avoid wasting for retirement, enhance entry to retirement plans, and supply larger flexibility in managing retirement funds.
Probably the most vital provisions of the SECURE Act 2.0 is the rise within the age at which people should start taking required minimal distributions (RMDs) from their retirement accounts. Beneath the previous legislation, RMDs needed to start at age 72. The SECURE Act 2.0 raises this age to 73 in 2023 and to 75 in 2033. This offers people extra time to develop their retirement financial savings and cut back the quantity of taxes they owe on RMDs.
