Understanding the Secure Act 2.o

SECURE ACT 2.0 was rolled out at the end of 2022. This new legislation provides a host of changes designed to substantially improve retirement savings options as well as help strengthen the retirement system overall.

While there are dozens of provisions, several elements potentially have a greater impact on our clients, such as automatic 401(k) enrollment, an increase in the age for taking RMDs, along with significant tax benefits for employers. Further key SA2.0 modifications were established with the goal of helping younger people pay off student debt and making it easier to move accounts from employer to employer, in turn allowing people to save within their retirement accounts for emergencies.