What Are The 401(k) Retirement Changes For 2023?

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Understanding the 401(k) Retirement Changes for 2023

New year, new… 401(k) Retirement Changes? That’s right; if you have a 401(k) to save for retirement, a few major changes are happening this year that you need to know about. Luckily, we have compiled them all for you right here. Keep reading to learn more about the 401(k) retirement changes for 2023 and how to start saving for retirement with gold.

What Are The 401(k) Retirement Changes?

According to Forbes, the $1.7 trillion dollar spending bill that Congress passed includes several significant changes to retirement plans that could help Americans keep their pensions untaxed and untouched for longer.

Key facts include:

  • The bill will change the age at which Americans are required to withdraw from tax-deferred retirement accounts: raising the age to 75 from 72, and will increase contribution limits for older workers, and hopefully incentivize low to moderate wage workers to save in retirement accounts.
  • The age limit — known as required minimum distributions (RMD)—increases from 72 to 73 on January 1, 2023, and then to 75 on January 1, 2033.
  • The changes to the age are meant to reward taxpayers who have to work as they get older. The mandatory distributions are to ensure a portion of the retirement savings are spent during one’s lifetime and make the money tax-deferred but not tax-free, reports The Wall Street Journal.

According to CNN, the retirement savings provisions in that package are known as Secure 2.0. And there are seven of the Secure 2.0 provisions, based on a breakdown from the Senate Finance Committee.

  1. Require auto-enrollment in 401(k) plans – The provision will go into effect after December 31, 2024.
  2. Allow employer contributions for student loan payments – The provision is set to take effect after December 31, 2023.
  3. Increase the age for required minimum distributions
  4. Help employees build and access emergency savings – The provision will go into effect after December 31, 2023.
  5. Raise catch-up contribution limits for older workers – The provision takes effect after December 31, 2024.
  6. Enhance and simplify the Saver’s Credit – The provision goes into effect after December 31, 2026.
  7. Make it easier for part-time workers to save – The provision takes effect after December 31, 2024.

Background of the Spending Bill

The changes to the 401(k) retirement plan were a bipartisan effort by the Senate Finance Committee and are an expansion of a 2019 Secure Act, according to Forbes. The previous bill removed the age cap Americans would be able to contribute to traditional IRAs and also incentivized workers to let their employers automatically raise an employee’s annual savings rate to 15% of annual earnings, a bump from the previous 10% cap. The sudden rush to change retirement plans in recent years is meant to combat the financial shape Americans are finding themselves in, as this generation is reaching retirement age not seeing any rise in their median incomes and social security in years, becoming the least prepared in decades, reports The Wall Street Journal.

Precious Metals IRA

By rolling over your IRA, 401(k), 403, TSP, or 457 Plan into our Precious Metal IRA Account, you can achieve the same profits you would gain by purchasing gold or silver directly, while also enjoying the benefits that your retirement account provides.

Self-directed precious metals IRAs allow you to start saving for retirement with gold and silver to better diversify your investment portfolio, which can be crucial protection during turbulent financial markets. Gold and silver are two of the world’s most desired commodities and are the only assets that are universally accepted standards of payment. Gold and silver also allow their owners to acquire currency anywhere in the world, making these metals versatile regardless of location.

We have a proven four-step process that makes it easy to open a precious metals IRA, and we guarantee you the highest caliber customer service. Our IRA specialists will answer all of your questions, work with your current custodians to ensure a seamless transition, provide you with a free metal evaluation, and continually help you to review your portfolio.

Having an established Gold & Silver IRA (Individual Retirement Account) means that you will have:

  • Retirement Security and hedge against inflation.
  • IRS Tax Exemption on qualifying precious metals.
  • Direct Physical Ownership of tangible assets.
  • Full control of your precious metals investment.
  • FREE Shipping, Insurance, and Free storage for qualifying accounts.

Start Saving for Retirement with Priority Gold

If you are ready to start saving for retirement with gold to protect your savings and secure your future, we can help. Priority Gold is one of the most trusted precious metals dealers in the United States, with a BBB A+ Rating, AAA Rating with Business Consumer Alliance, and 5 Stars Rating with TrustLink.

We specialize in providing precious metals investment services with Security, Liability, and Great Convenience for customers. Our team is committed to helping to streamline their precious metals purchases at a fair price, selecting the right precious metals portfolios, and meeting their important financial objectives.

We offer Free Storage for qualifying Gold & Silver IRA accounts, a fast & easy gold buying process, and smooth IRA Transfer. And gold shows up on schedule. Priority Gold guarantees the highest customer service standards, which come with honesty, professional conduct, and an Ethical Code of Business.

For more information, visit us at prioritygold.com

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