IRA / SEP / SIMPLE Key Priorities
Please note: These provisions may be prioritized differently based on your individual business needs.
| KEY PRIORITIES – APPLICABLE IN 2023 | Bill Provision Section |
| Increase in age for required beginning date | 107 |
| Remove required minimum distribution barriers for life annuities | 201 |
| Reduction in excise tax for missed RMD | 302 |
| Modification of required minimum distribution rules for special needs trusts | 337 |
| One-time election for qualified charitable distribution to split-interest entity: increase in qualified charitable distribution limitation | 307 |
| Repayment of qualified birth or adoption distributions | 311 |
| Individual retirement plan statute of limitations for excise tax on excess contributions and certain accumulations | 313 |
| Elimination of additional tax on corrective distributions of excess contributions | 333 |
| Tax treatment of IRA involved in a prohibited transaction | 322 |
| Penalty exception for distributions to individuals with a terminal illness | 326 |
| Special rules for use of retirement funds in connection with qualified federally declared disasters | 331 |
| Modification of credit for small employer pension plan startup costs | 102 |
| Tax treatment of certain nontrade or business SEP contributions | 118 |
| Allow SIMPLE and SEP Roth IRA contributions | 601 |
“Applicable in 2023” includes those provisions with effective dates stated as plan years beginning after date of enactment or after December 31, 2022; taxable years beginning after date of enactment or after December 31, 2022; or on or after the date of enactment; and any retroactive effective dates.
| KEY PRIORITIES – APPLICABLE IN 2024 | Bill Provision Section |
| Indexing IRA catch-up limit | 108 |
| Emergency savings withdrawals from plans | 115 |
| Penalty free withdrawals for individuals in case of domestic abuse | 314 |
| Clarification of substantially equal periodic payment rule | 323 |
| 529-to-Roth IRA rollovers | 126 |
| Additional non-elective contributions to SIMPLE plans | 116 |
| Increase in deferral and catch-up contribution limit for SIMPLE plans | 117 |
| Replacing SIMPLE retirement accounts with safe harbor 401(k) plans during a year | 332 |
“Applicable in 2024” includes those provisions with effective dates stated as plan years beginning after December 31, 2023, or taxable years beginning after December 31, 2023.
| KEY PRIORITIES – APPLICABLE IN 2025 AND LATER | Bill Provision Section |
| Higher catch-up contribution limit to apply at ages 60 through 63 | 109 |
| Saver’s match contributions | 103 |
| Expansion of Employee Plans Compliance Resolution System (EPCRS) | 305 |
| Treasury guidance on rollovers | 324 |
| Plan amendments for SECURE 2.0 | 501 |
“Applicable in 2025 and later” includes those provisions with effective dates stated as “plan years beginning after December 31, 2024, or taxable years beginning after December 31, 2025.
For a more complete list of SECURE 2.0 provisions, please review the Congressional Summary, released by the Senate Finance Committee on December 19, 2022.
Click here for a printable version.
