Congress recently enacted landmark retirement legislation known as SECURE ACT 2.0 will incentivize individuals to save for retirement while increasing access to workplace plans. The new law includes several provisions intended to benefit individuals and small business owners.

Below is a summary of the Top 10 provisions of Secure Act 2.0:

• ENHANCEMENT OF TAX CREDITS FOR SMALL BUSINESSES STARTING AND MAINTAINING A
  RETIREMENT PLAN
• CHANGES TO THE REQUIRED MINIMUM DISTRIBUTIONS
• CATCH-UP CONTRIBUTION INCREASE AND CHANGES FOR EARNERS OVER $145,000
• SELF-CORRECTION OF INADVERTENT PLAN AND IRA VIOLATIONS WITHOUT SUBMISSION TO THE IRS
• MATCHING CONTRIBUTIONS FOR STUDENT LOAN PAYMENTS
• REQUIRED AUTO-ENROLLMENT AND AUTO-ESCALATION FOR MOST NEW PLANS
• ALLOWING SIMPLE AND SEP CONTRIBUTIONS TO BE MADE ON A ROTH BASIS
• TWO NEW WAYS TO SAVE FOR EMERGENCIES THROUGH A 401(k) PLAN
• PERMITTING ALL EMPLOYER CONTRIBUTIONS TO BE OFFERED TO EMPLOYEES ON A ROTH BASIS
• ROLLOVER OF EXCESS 529 ASSETS TO ROTH IRAS

These provisions all went into effect on Jan. 1, 2023. At The Cockfield Family Office, we work with you to provide you with the most informed information to ensure you can get the best financial advice. If you want to know more about these provisions and how they can affect your retirement and 401K, contact us at The Cockfield Family Office via email or call us at 678-532-7372.