Use this button to switch between dark and light mode.

Get Ready for Roth-Plus: 2024 and 2025 SECURE 2.0 Changes Increase Roth Contributions

August 29, 2023 (3 min read)

The SECURE 2.0 Act of 2022 (Division T of Pub. L. No. 117-328), or SECURE 2.0, includes provisions that take effect in 2024 and 2025. For example, 401(k) and 403(b) plans have been permitted to include salary deferral catch-up contributions for more than 20 years, giving participants, age 50 or older, a chance to boost their retirement savings. For 2023, the catch-up contribution limit is $7,500 (indexed). While, based on plan design, participants have been able to choose the form of catch-up—pre-tax, Roth, or a mix of the two—effective January 1, 2024, SECURE 2.0 required catch-up contributions to be made on a Roth basis, for participants with wages greater than $145,000 in the previous year. IRS just provided a two-year pause on that requirement. IRS Notice 2023-62. Another Roth change starts in 2025, providing a new catch-up limit for employees who are ages 60 to 63 (permitting contributions equal to the greater of $10,000 or 150% of the regular catch-up limit). Plan ahead—but now at an easier pace!

Read now »

Related Content

  • SECURE 2.0 Act Impact on Retirement Plan Compliance and Administration
    See how SECURE 2.0 sets forth more than 90 provisions affecting qualified retirement plans, other tax-favored plans (including 403(a) and 403(b), SIMPLE IRA, SIMPLE 401(k) plans), simplified employee pension (SEP) plans, government-sponsored eligible 457(b) plans, and individual retirement accounts (IRAs)). The changes range from relatively minor modifications of existing provisions to important new optional and mandatory plan features and designs.

Practical Guidance Updates 

Featuring the latest updates from your Practical Guidance account.    


Experience results today with practical guidance, legal research, and data-driven insights—all in one place.

Experience Lexis+