FYI: catch up contributions for people 50+ earning 145k+

[flygirl]

Change in 2024.  They will have to be after tax contributions 

www.forbes.com/sites/ericbrotman/2023/02/09/upcoming-retirement-savings-provisions-in-secure-act-20/?sh=5b411df16a2e

[RockNVoll]

Thanks for sharing! I found the new 529 rule to be particularly interesting:

Unused funds in 529 College Savings Plan accounts can now be rolled over into a Roth IRA for the beneficiary, subject to the annual contribution limits and an aggregate lifetime limit of $35,000.

And also: Importantly, no changes have been made to limit or prevent the strategy of “backdoor Roth IRA” planning.

[jwright]

Yikes; I don't love taking away a current tax break from people trying to get ahead in their 50s; I feel like the immediate benefit is much more attractive at that age.

ETA:  I see that the US Chamber of Commerce has already written an open letter outlining issues with this. www.uschamber.com/assets/documents/Treasury-SECURE-2.0-Letter-Final-4.7.pdf

[definitelyO]

A lot of companies including investment companies are lobbying against this. Like a lot of government regulations there is not much guidance on how this is actually feasible for an employer - IMO. Some companies don't have Roths set up with their investment company. and there is a lot of debate/discussion around when and how the $145,000 income is calculated. A lot of moving parts.

[dragon's breath]

TSP recently came up with a strategy for how to proceed. Of course, everything with TSP is a big mess right now, so I expect no less of a mess actually implementing the new law.

www.tsp.gov/bulletins/23-5/