In January 2020, the Community Up for Retirement Enhancement (SECURE) Act became law. The Act has changed retirement planning and saving for Americans at every age.
What is the SECURE Act?
The SECURE Act impacts various retirement rules including withdrawals and contributions. Some important changes with this Act include:
- Required minimum distribution age increases to 72
- Age limit for IRA contributions removed
- Inherited retirement account distributions must be taken within 10 years
- New parents are allowed to take penalty-free withdrawals
- Long term and part-time employees are eligible for 401(K) plans