Retirement Planning6 min read
SECURE Act 2.0: Six Changes Retirees Should Actually Care About
From the new RMD age to Roth catch-ups and 529-to-Roth rollovers — a plain-English summary of what matters for retirees and pre-retirees.
SECURE Act 2.0 introduced dozens of provisions, most of which are noise for retirees. A handful actually change planning.
Six that matter
- RMD age moved to 73 (and 75 for those born in 1960 or later).
- Missed-RMD penalty reduced from 50% to 25% (10% if corrected quickly).
- Catch-up contributions for higher earners age 50+ must go to Roth starting under the current phase-in.
- Unused 529 balances can be rolled to a Roth IRA for the beneficiary, subject to annual limits and a 15-year account age rule.
- QCD limit indexed for inflation (roughly $111,000 in 2026).
- Surviving spouses can elect to be treated as the deceased spouse for RMD purposes — often lowering RMDs.
What we suggest doing this year
Re-run your RMD schedule against the new age. Re-model Roth conversion capacity between retirement and RMD start. And if you inherited an IRA after 2020, confirm your 10-year distribution plan — the IRS finalized annual RMD requirements for many non-eligible designated beneficiaries.
Frequently asked
Questions Scottsdale retirees ask us
- What is the current RMD age under SECURE Act 2.0?
- The RMD age is 73 for individuals born between 1951 and 1959, and 75 for those born in 1960 or later. If you turn 73 in 2026, your first RMD is generally due by April 1 of the following year.
- How does the 529-to-Roth rollover work?
- Unused 529 balances can be rolled to a Roth IRA in the beneficiary's name, subject to annual Roth contribution limits, a lifetime cap of $35,000, and a requirement that the 529 has been open at least 15 years. Additional rules apply.
- Do inherited IRAs still have to be emptied within 10 years?
- For most non-spouse beneficiaries who inherit after 2019, yes — the account must generally be fully distributed by the end of the 10th year. Recent IRS guidance also requires annual RMDs during that window for many beneficiaries.