SECURE 2.0 Act: Changes to employer-sponsored retirement plans
Enacted in December 2022, the SECURE 2.0 Act makes a variety of changes to the rules governing different types of retirement plans. These changes are designed to increase retirement savings opportunities, close coverage gaps, lower employers’ cost of sponsoring retirement savings plans, and reduce the administrative burdens of sponsoring a plan.
The act builds upon the Setting Every Community Up for Retirement Act of 2019 (SECURE Act 1.0), which many considered the most significant legal changes to retirement in more than 10 years. SECURE 2.0 makes changes to many of the same areas covered in SECURE 1.0 while covering new ground. Given all the new rules and their often very precise details and varying effective dates, you’ll want to make sure you carefully review how your retirement plan or plan offerings need to change.
