Last updated: Reviewed by John Ziesing, FRC
SECURE Act 2.0: A Plain-English Guide for Retirees
RMDs · Catch-Up Contributions · Roth Strategy · 2026 Update
The SECURE Act 2.0 (signed December 2022) rewrote dozens of retirement-account rules. Most coverage is written for tax professionals. Here is the version you actually need — what changed, when it kicks in, and what to do about it as a Tampa Bay retiree.
SECURE Act 2.0 — Key Numbers for 2026
- Current RMD start age
-
73
Current RMD start age
- RMD age starting 2033
-
75
RMD age starting 2033
- Age 60-63 super catch-up
-
$11,250
Age 60-63 super catch-up
- Lifetime 529→Roth limit
-
$35,000
Lifetime 529→Roth limit
Sources: LIMRA Q1 2026, AnnuityAdvantage rate survey, ACM internal data.
The Six Changes That Matter Most
-
RMD age pushed back — 73 today, 75 in 2033.
-
Super catch-up — $11,250 extra at ages 60-63.
-
529 → Roth IRA rollover — up to $35,000 lifetime.
-
Missed-RMD penalty cut from 50% → 25% (10% if corrected).
-
Roth employer match — 401(k)/TSP match can now go to Roth.
-
No more Roth 401(k) RMDs — Roth workplace accounts no longer require lifetime RMDs.
When Each Provision Kicks In
| Year | Provision | Who It Affects |
|---|---|---|
| 2023 | RMD age moved from 72 to 73 | Anyone turning 73 in 2023+ |
| 2023 | Missed-RMD penalty cut 50% → 25% | All RMD-takers |
| 2024 | No more lifetime RMDs on Roth 401(k) / Roth TSP | Roth workplace-plan holders |
| 2024 | 529 → Roth IRA rollovers allowed ($35k lifetime) | 529 beneficiaries |
| 2024 | Surviving spouse can be treated as decedent for RMDs | Widows / widowers |
| 2025 | Super catch-up ($11,250) at ages 60-63 | Workers 60-63 |
| 2026 | High earners ($145k+) must make catch-ups as Roth | High-wage workers 50+ |
| 2033 | RMD age moves to 75 | Anyone born 1960 or later |
The Florida Roth Conversion Runway
SECURE 2.0's delayed-RMD age is the single biggest planning opportunity in 20 years for Florida retirees. Between the year you stop working (typically 60-66) and the year your first RMD hits (73 or 75), you have a multi-year window where:
- Your taxable income is at its lifetime low
- Florida adds 0% state tax to any Roth conversion (vs. 6-13% in NY, NJ, CA, IL)
- Each dollar converted is one fewer dollar exposed to future RMD-driven bracket-creep
- Roth dollars pass to heirs tax-free and outside the 10-year inherited-IRA squeeze
We typically model converting just enough each year to fill the 22% or 24% federal bracket — not so much that you push into 32% or trigger an IRMAA Medicare premium surcharge.
Three Common SECURE 2.0 Mistakes We See
- Taking RMDs at 72 by force of habit. If you turned 72 in 2023 or later, your first RMD is at 73 — pulling early costs you a year of tax-deferred growth.
- Skipping Roth conversions during the "gap" years. Most retirees we meet have never modeled a multi-year Roth-conversion plan despite being in the lowest tax bracket of their lives.
- Naming the wrong beneficiary on a post-2019 IRA. Non-spouse beneficiaries must empty the account in 10 years; trust-as-beneficiary structures need updates to handle the new annual-RMD-during-the-10-year-window clarification.
Frequently Asked Questions
What is SECURE Act 2.0 in plain English?
SECURE Act 2.0 is a 2022 federal law that updated dozens of rules for IRAs, 401(k)s, TSP, and Roth accounts. The biggest changes for retirees: Required Minimum Distributions (RMDs) start later (age 73 today, age 75 in 2033), catch-up contributions get bigger after age 60, you can roll leftover 529 money into a Roth IRA, and the penalty for missing an RMD dropped from 50% to 25% (10% if corrected promptly).
When do I have to start taking RMDs under SECURE Act 2.0?
If you turn 73 in 2026, your first RMD is due by April 1, 2027 (and every December 31 thereafter). If you were born in 1960 or later, your first RMD age is 75 — the new RMD age rises to 75 starting January 1, 2033. Roth IRAs and (starting in 2024) Roth 401(k) / Roth TSP accounts have no lifetime RMDs.
What's the new catch-up contribution rule for ages 60-63?
Starting in 2025, workers aged 60, 61, 62, and 63 can make a 'super catch-up' contribution of up to $11,250 to their 401(k), 403(b), or TSP — on top of the regular $23,500 deferral. At age 64 the catch-up drops back to the standard amount. High earners (wages > $145,000 in the prior year) must make catch-up contributions as Roth dollars starting in 2026.
Can I roll a 529 plan into a Roth IRA?
Yes — a major SECURE 2.0 win. Starting in 2024, leftover 529 funds can be rolled to a Roth IRA in the beneficiary's name, up to a $35,000 lifetime maximum, subject to annual Roth contribution limits and a 15-year-account-age rule. This eliminates the 'overfunded 529' problem that historically locked money in for education only.
What happens if I miss an RMD?
SECURE 2.0 slashed the missed-RMD excise tax from 50% to 25%, and to just 10% if you correct the shortfall within a two-year correction window and file Form 5329. You can also request a waiver for reasonable cause — which the IRS routinely grants.
Did SECURE Act 2.0 change rules for inherited IRAs?
The original SECURE Act (2019) ended the 'stretch IRA' for most non-spouse beneficiaries — they must now empty an inherited IRA within 10 years. SECURE 2.0 clarified that non-spouse beneficiaries of someone already taking RMDs must also take annual RMDs during years 1-9 of the 10-year window. Spouses, minor children, disabled / chronically-ill beneficiaries, and beneficiaries less than 10 years younger than the deceased are exempt and can still stretch.
How does SECURE 2.0 affect Tampa Bay retirees specifically?
Florida has no state income tax, so SECURE 2.0's delayed-RMD provision is even more valuable here — every extra year of tax-deferred growth compounds without state-tax drag. The biggest planning opportunity is the 'Roth conversion runway' between separation (often age 60-65) and the first RMD year, when conversions can be done in lower brackets before RMDs force income into higher ones.
Related Pages
Want a Florida-specific SECURE 2.0 plan?
Book a 20-minute review with John and we'll model your personal RMD timeline, Roth-conversion runway, and beneficiary-tax exposure under SECURE 2.0 — quantified in current dollars.
Serving these nearby areas