Significant Changes Coming to TSP and IRAs from SECURE Act - January 22, 2020
Edward A. Zurndorfer, My Federal Retirement
Before adjourning in late December, Congress enacted a $1.4 trillion year-end spending bill that keeps the federal government running through Sept. 30, 2020. President Trump signed the legislation. Tucked away inside this spending legislation is the Setting Every Community Up for Retirement Enhancement (SECURE) Act which includes significant changes to individual retirement arrangements (IRAs) and retirement plans including the Thrift Savings Plan (TSP).
Age limit eliminated for traditional IRA contributions
Effective Jan. 1, 2020, the SECURE Act eliminated the age limit for making traditional IRA contributions. With this change, those individuals who have earned income or whose spouses have earned income can continue to contribute to a traditional IRA regardless of their age.