The Setting Every Community Up for Retirement Enhancement Act (SECURE) was passed in December of 2019. This bill was created to give workers access to retirement plan savings opportunities and to help prevent retirees from outliving their assets.
Here are a few of the highlights:
- The Required Minimum Distribution (RMD) starting age has changed from the year you turn 70 ½ to the year you turn 72.
- 529 College Savings Accounts may now be used to pay off as much as $10,000 of student loans per person.
- You can now withdraw up to $5,000 penalty-free from your retirement account after you have the birth of a child or an adoption
- Your heirs may be required to “cash out” your entire retirement account within 10 years of your passing, potentially causing a major tax event.
These changes do not apply to everyone, to find out if and how they apply to you please contact us ….