SECURE Act
The Setting Every Community Up for Retirement Enhancement Act of 2019 and its follow-up SECURE 2.0 Act of 2022, which made significant changes to retirement account rules including RMD age increases and inherited account rules.
Understanding SECURE Act
The original SECURE Act raised the RMD starting age from 70.5 to 72 and eliminated the stretch IRA for most non-spouse beneficiaries. SECURE 2.0 (2022) further raised the RMD age to 73 (and eventually 75), increased catch-up contribution limits, and created new Roth options for employer plans. These changes have made Roth IRAs and IUL (which have no RMDs) relatively more valuable.
Why This Matters for Retirement: Understanding SECURE Act is essential for making informed decisions about tax-free retirement income strategies. Whether you are evaluating an IUL policy, planning Roth conversions, or comparing retirement vehicles, this concept directly affects your outcomes.