Under the SECURE 2.0 Act, new rules for RMDs, Roth accounts, and catch-up contributions are changing how Americans plan for retirement, says award-winning investment advisor Anthony Pellegrino of Goldstone Financial Group. Is your retirement future-proof?
The SECURE 2.0 Act of 2022 brings together several provisions of major importance to pre-retirees and retirees. Many of these provisions took effect in 2024, some are slated for 2025, and others will continue into the future. The Act introduces several changes that expand retirement savings opportunities.
For retirees and those closing in on retirement, this law is a mandate to revisit the basics: how much you save, when you take money out, and how you plan for emergencies.
Required Minimum Distributions (RMDs) Get a Delay
The threshold age for mandatory withdrawals from retirement accounts is now 73, and it'll jump to 75 by 2033. That's more time for your investments to grow, but it also means you could face bigger withdrawals—and bigger tax bills—later. Goldstone Financial Group CEO explains that now is the time to review your assets, investments, income strategies, and legacy planning.
Catch-Up Contributions Get a Boost
Starting in 2025, workers aged 60 to 63 can put even more into their 401(k) and 403(b) plans. This provision encourages pre-retirees to 'supercharge' their savings.
Roth 401(k)s Finally Get Parity
No more RMDs for Roth 401(k)s. This brings them in line with Roth IRAs and gives you more control over your tax-free assets. It's a win for flexibility, but it also means you need to rethink your Roth strategy—especially if you're considering conversions.
Charitable Giving Gets a Nudge
The annual limit for tax-free charitable donations from IRAs will now rise with inflation. If giving is part of your plan, you can do more good—and save more on taxes.
Emergency Withdrawals Without the Sting
You can now withdraw up to $1,000 per year from your retirement accounts for emergencies without facing penalties. While this option isn't a substitute for an emergency fund, it serves as a helpful safety net.
If you work with a fiduciary advisor, expect them to look out for your interest — even over their own. The SECURE 2.0 Act adds to what you can do with your wealth, and your investment advisor should be:
If your advisor isn't talking about these changes, ask why. If you need a starting point, check out Goldstone Financial Group's and .
The SECURE 2.0 Act is not background noise to be ignored. It's a set of new rules that demand your attention—and your action. Fiduciary firms like Goldstone Financial Group recommend reviewing your plan, talking to your advisor, and making sure your retirement strategy is built for what's next, not what used to be.
