Episode description

In this conversation, financial planner Danny Gudorf discusses the significant changes to retirement planning that will take effect in 2025. He covers various aspects including increased contribution limits for workplace retirement plans, the introduction of super catch-up contributions, changes to inherited IRA rules, and the new emergency savings accounts. 

Danny emphasizes the importance of understanding these changes for effective retirement planning and offers insights into strategic approaches to optimize retirement savings and tax efficiency.

Takeaways

• The retirement landscape is changing significantly in 2025.
• Contribution limits for 401k plans will increase to $23,500.
• Catch-up contributions for those over 50 remain at $7,500.
• The combined contribution limit for employer matching will rise to $70,000.
• Super catch-up contributions allow an additional $10,000 for those aged 60 and above.
• Eligibility for retirement plans for part-time workers is becoming more inclusive.
• Automatic enrollment in new retirement plans will be mandatory.
• HSA contribution limits will increase to $4,300 for individuals.
• New rules for inherited IRAs will impose stricter penalties for missed distributions.
• Employers can match retirement contributions based on student loan payments.

Resources:

• Gudorf Financial Group
• Get Your Free Retirement Assessment
• The Retire Ready Toolkit (free resource)
• Subscribe on Youtube