Abstract
-
According to SECURE Act 2.0, signed into law in December 2022, people who own tax-deferred retirement accounts such as traditional IRAs, 401(k), 403(b) or 457 must begin taking required minimum distributions (RMDs) after reaching age 73 starting January 1, 2023. Individuals of qualified related retirement plans can delay taking the first required minimum distribution indefinitely as long as they continue working for their employer offering the retirement plan. This article presents an example showing if the plan holder continues working full or part-time for five years past age 73, he can increase his retirement portfolio by more than 36 percent.