The SECURE Act 2.0, passed in December 2022, introduced significant changes to retirement savings rules in the United States. These changes aim to make it easier for Americans to save for retirement and access their savings in a more flexible manner.
One of the key changes is the increase in the age at which individuals must begin taking required minimum distributions (RMDs) from their retirement accounts. Under the old rules, RMDs had to begin at age 72. The SECURE Act 2.0 raised this age to 73 in 2023 and will further increase it to 75 in 2033. This change gives individuals more time to grow their retirement savings and reduce the amount of taxes they owe on withdrawals.
