The Money PIG Podcast-13

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In this episode of the Money PIG podcast, host Reid Trego and Rory Glatt, CFP® professional, discuss the Secure Act 2.0, a $1.7 trillion omnibus bill that includes changes to retirement accounts and contributions. They specifically focus on changes to Required Minimum Distributions (RMDs), catch-up contributions, and 529 plans. RMD ages have been pushed back, which can potentially put individuals in higher tax brackets later in life; however, there are planning opportunities like Qualified Charitable Distributions (QCDs) that could help lower taxes paid on RMDs. Catch-up contribution limits have also increased for both IRAs and 401(k)s/403(b)s starting in 2024. Lastly, they talk about how 529 plans can now be converted into Roth IRAs for children but only if the plan has existed for at least 15 years with guidelines set by the government surrounding this change.

Reid and Rory discuss the rules for converting a 529 plan to a Roth IRA, including limitations on contributions and beneficiary requirements. The maximum lifetime transfer limit is $35,000. Further changes are coming in 2023-2025, such as companies offering retirement plans being required to enroll employees at a specified contribution level and making accounts more portable when changing jobs.

If you would like to connect with an advisor on our wealth management team to discuss the implications of the SECURE Act and how it could potentially affect your retirement plan, please schedule a free intro call here.

The Money PIG podcast is hosted by Reid Trego. Goodwin Investment Advisory is a Registered Investment Advisory firm regulated by the Securities and Exchange Commission in accordance and compliance with securities laws and regulations. Goodwin Investment Advisory does not render or offer to render personalized investment or tax advice through the Money PIG podcast. The information provided is for informational purposes only and does not constitute financial, tax, investment or legal advice.

The Money PIG Podcast brought to you by Goodwin Investment Advisory where our Mission is to lead people to Financial Peace, Independence and Generosity.
By Published On: June 14th, 2023

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