The House of Representatives recently passed The Securing a Strong Retirement Act of 2022 (H.R. 2954), also known as the “Secure Act 2.0,” which would expand and encourage retirement savings by an overwhelming vote of 414-5. The Senate is expected to consider a similar version of this legislation in later in 2022. In light of the overwhelming bipartisan support which Secure Act 2.0 received in the House, bipartisan support in the Senate is also anticipated. If enacted, the effective date of the legislation should be in 2023 or later. We are monitoring the status of the legislation in Congress and will issue further updates.
Secure Act 2.0 continues the expansion of retirement benefits started by the Secure Act, which was enacted in 2019. The Secure Act made Multiple Employer Plans available to more employers; increased tax credits to small employers who implement a plan; expanded plan coverage for part-time employees; permitted in-service distributions from defined benefit plans at age 59 ; and raised the age at which distributions from a plan must begin.
Secure Act 2.0 would provide for the following:
Increase the age at which required minimum distributions (“RMDs”) must begin. The Secure Act increased the age at which RMDs must begin from 70 to 72. Secure Act 2.0 phases in an increase in the age at which RMDs must begin to age 75 as follows:
| Attains age 74 after 12/31/2032 | 75 |
In addition, Secure Act 2.0 would reduce the penalty imposed on plan participants for...
The Minister of Sport, Arts and Culture, Gayton McKenzie, has rejected claims that he has withdrawn or rescinded the gazetted renaming of Graaff-Reinet to Robert Sobukwe Town, along with other geo...