On December 20, 2019, the Setting Every Community Up for Retirement Enhancement (SECURE) Act of 2019 became law. The Act makes significant changes to the rules governing Traditional IRAs and Roth IRAs.
Starting in 2020 the following changes have been made:
We encourage you to seek the assistance of a competent tax and/or legal professional if you have questions or concerns about the new rules.
Secure a happy retirement with a Traditional or Roth Individual Retirement Account authorized by the Federal Government.
When you contribute to a Traditional IRA, the investment may be tax deductible and earnings can potentially grow tax deferred until you withdraw in retirement.
With a Roth IRA, contributions are made with money you have already paid taxes on, so your money may qualify to grow tax free, and withdrawals will be tax free when you retire provided you meet certain qualifications.
SEP (Simplified Employee Pension), Employers may contribute and deduct up to 25% of employee compensation and earnings which are tax-deferred until distributed.
For the IRA contribution limit in 2019, you can contribute up to $6,000, or $7,000 if 50 or older. But there is a deadline to contribute, and it's the tax filing deadline, which is April 15, 2020 is the last day to contribute to a Traditional or Roth IRA for 2019. (SEP IRAs are an exception: You can contribute all the way through mid-October if you file an extension.)
Click here to learn more about IRA’s and the benefits of contributing.