{"id":250323,"date":"2025-09-24T01:14:14","date_gmt":"2025-09-24T01:14:14","guid":{"rendered":"https:\/\/www.europesays.com\/us\/250323\/"},"modified":"2025-09-24T01:14:14","modified_gmt":"2025-09-24T01:14:14","slug":"new-regulations-for-retirement-catch-up-contributions-fedmanager","status":"publish","type":"post","link":"https:\/\/www.europesays.com\/us\/250323\/","title":{"rendered":"New Regulations for Retirement Catch Up Contributions \u2014 FEDmanager"},"content":{"rendered":"<p class=\"\" style=\"white-space:pre-wrap;\">The U.S. Treasury Department and the Internal Revenue Service released <a href=\"https:\/\/www.federalregister.gov\/documents\/2025\/09\/16\/2025-17865\/catch-up-contributions\" rel=\"nofollow noopener\" target=\"_blank\">final regulations<\/a> for retirement catch up contributions, which are additional contributions that workers 50 and older can make to their retirement accounts. The new regulations are required under the SECURE 2.0 Act &#8211; a 2022 law designed to make saving for retirement easier.\u00a0<\/p>\n<p class=\"\" style=\"white-space:pre-wrap;\">The main <a href=\"https:\/\/www.cpapracticeadvisor.com\/2025\/09\/15\/irs-releases-final-regs-on-roth-catch-up-contributions\/168999\/\" rel=\"nofollow noopener\" target=\"_blank\">takeaway<\/a>: highly-paid employees who need to make additional contributions can do so, as long as they are Roth contributions, instead of pre-tax contributions. <\/p>\n<p class=\"\" style=\"white-space:pre-wrap;\">Under the final regulations, employees over 50 who made at least $145,000 from their current employer in the past year and make additional contributions to 401(k), 403(b) or governmental 457(b) retirement plans, will have to make those contributions as post-tax Roth contributions, rather than pre-tax contributions.<\/p>\n<p class=\"\" style=\"white-space:pre-wrap;\">In addition, the regulations allow for employees aged 60 through 63 to make \u201csuper catch-up\u201d contributions. Certain catch-up contributions in 403(b) plans will not be designated as Roth contributions, according to the IRS.<\/p>\n<p class=\"\" style=\"white-space:pre-wrap;\"><strong>Post-Comment Changes\u00a0<\/strong><\/p>\n<p class=\"\" style=\"white-space:pre-wrap;\">The IRS also made some changes to the proposed rules following a public comment period. <\/p>\n<p class=\"\" style=\"white-space:pre-wrap;\">Among them: plan administrators are now allowed to aggregate a participant\u2019s wages from certain separate common law employers to determine whether the participant\u2019s income meets the level requiring Roth catch-up contributions.<\/p>\n<p class=\"\" style=\"white-space:pre-wrap;\">Additional <a href=\"https:\/\/www.thetaxadviser.com\/news\/2025\/sep\/irs-finalizes-regulations-for-roth-catch-up-contributions-under-secure-2-0\/\" rel=\"nofollow noopener\" target=\"_blank\">changes<\/a> were made to the following topics:<\/p>\n<ul data-rte-list=\"default\">\n<li>\n<p class=\"\" style=\"white-space:pre-wrap;\">Correction of a failure to comply with the Roth catch-up requirement;<\/p>\n<\/li>\n<li>\n<p class=\"\" style=\"white-space:pre-wrap;\">Implementation of a deemed Roth election; and<\/p>\n<\/li>\n<li>\n<p class=\"\" style=\"white-space:pre-wrap;\">Plans that cover participants in Puerto Rico.\u00a0<\/p>\n<\/li>\n<\/ul>\n<p class=\"\" style=\"white-space:pre-wrap;\">In addition, the regulations include advice to help plan administrators implement and comply with the new catch-up rule.\u00a0<\/p>\n<p class=\"\" style=\"white-space:pre-wrap;\"><strong>2027 Date\u00a0<\/strong><\/p>\n<p class=\"\" style=\"white-space:pre-wrap;\">The final regulations apply to contributions in taxable years beginning after December 31, 2026. However, plans can implement the Roth catch-up requirement for taxable years beginning before 2027 using a reasonable, good faith interpretation of statutory provisions.<\/p>\n","protected":false},"excerpt":{"rendered":"The U.S. Treasury Department and the Internal Revenue Service released final regulations for retirement catch up contributions, which&hellip;\n","protected":false},"author":3,"featured_media":250324,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[15],"tags":[64,255,67,132,68],"class_list":{"0":"post-250323","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-personal-finance","8":"tag-business","9":"tag-personal-finance","10":"tag-united-states","11":"tag-unitedstates","12":"tag-us"},"share_on_mastodon":{"url":"https:\/\/pubeurope.com\/@us\/115256627437786869","error":""},"_links":{"self":[{"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/posts\/250323","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/comments?post=250323"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/posts\/250323\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/media\/250324"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/media?parent=250323"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/categories?post=250323"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/tags?post=250323"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}