THE SECURE 2.0 ACT Changes for savers and opportunists

By Dennis Prout, columnist

Recently on our “New Retirement” radio show, CPA Jon Sluis theorized the changes brought about by the SECURE 2.0 act were an admission by Congressional lawmakers that Social Security will fall far short of expectations for retirees.

While most of the populace is concerned about this shortfall already, this “admission” is bolstered by the changes some say are incremental. Others, like me, believe this statement is not only accurate, but for the younger worker, is monumental.

Given the effect of time and compounding, today’s youngest employees will be well-served with this legislation. Other changes are helpful for savers on an ongoing basis, including the expansion of the Roth option for both SIMPLE and SEP IRAs. In essence, what was already a powerful tool for those who want to save and secure their retirement income has expanded into a more powerful force for those who want to be financially independent, for themselves and their beneficiaries. Below is a list of what I view as the changes that will make the most difference to the majority of people.