Secure 2.0 gave people several new options for workplace retirement accounts, but it forces higher-income savers to use their plans’ Roth option for catch-up contributions. People ages 60 to 63 can make larger catch-up contributions, but many people won’t have the cash flow to take advantage of this option. People may be able to direct their employer matches into a Roth account, but doing so would increase their current tax bill. Secure 2.0’s “Rothification” of retirement plans complicates savings decisions enough that workers should consider getting financial advice about their individual situations.
