Here are new rules regarding your 401k that you shouldn't ignore

About this Video

• Video Title: Here are new rules regarding your 401k that you shouldn't ignore
• Channel: Michelle Li
• Speakers: Michelle Li, Jeff Saxs
• Duration: 00:04:34

Introduction

This video discusses new rules impacting 401(k) and retirement plans, particularly beneficial for part-time and gig workers. The speakers explain changes regarding eligibility, catch-up contributions, required minimum distributions, and student loan integration with 401(k) plans. They also address changes related to unused 529 college savings plans.

Key Takeaways

• Expanded 401(k) Eligibility: Part-time and gig workers who accumulate 500 hours of work per year for three consecutive years can now participate in 401(k) and similar retirement plans.
• Increased Catch-Up Contributions: Individuals aged 60-63 can now contribute an additional $10,000 annually to their 401(k)s. Those over 50 already have higher contribution limits.
• Delayed Required Minimum Distributions (RMDs): The age for required minimum distributions from retirement accounts has been raised to 75, allowing for more time to save.
• Student Loan Integration: Employers can now contribute to employees' 401(k)s even if the employee is solely making student loan payments and not contributing to their 401(k).
• 529 Plan Rollover: Up to $35,000 from unused 529 college savings plans can be rolled over into a Roth IRA for the beneficiary.