Houston Estate Planning and Elder Law Attorney Blog
The emphasis on the SECURE act is all about helping Americans save more for retirement. However, it may eliminate a strategy that is used by many to pass wealth across generations.
The coverage of the SECURE Act, that has been passed by the House Ways and Means Committee, is garnering considerable attention, because of its focus on helping Americans save more for retirement. One provision would require employers with 401(k) plans to make the plans available to long-term part-time workers. The $500 tax credit for small companies that open retirement plans with an automatic enrollment feature is also a popular provision.
However, as CNBC reports in its recent article “Congress may gut the 'stretch IRA' that wealthy people love,” the also bill includes a provision that would force non-spouse beneficiaries to draw down inherited retirement accounts within 10 years of the original owner's death.