Retirement planning never stands still, and 2025 is no exception. Thanks to the SECURE Act 2.0, several new rules are now in full effect that could significantly impact your retirement strategy—especially when it comes to how and when you withdraw your money.

If you’re already retired or planning to retire soon, this legislation may offer new opportunities to optimize your tax picture and avoid unnecessary headaches. Here’s what you need to know.

1. Required Minimum Distributions [RMDs] Are Changing Again

In 2025, the RMD starting age is now 73—and it will eventually rise to 75 for those born in 1960 or later. This gives retirees extra breathing room to let assets grow in tax-deferred accounts and opens the door for more proactive tax strategies during the gap years between retirement and RMDs.

2. Catch-Up Contributions Are More Generous [With a Twist]

Those aged 60 to 63 can now make higher catch-up contributions to workplace plans. However, if you earn more than $145,000, these extra contributions must go into a Roth account—meaning they won’t reduce your taxable income today, but they will grow tax-free.

3. Roth 401[k]s Just Got Better

Beginning in 2024 (but felt more in 2025), Roth 401(k) account holders no longer need to take RMDs. That puts them in line with Roth IRAs and makes Roth workplace plans even more attractive for tax-savvy retirees.

4. Why It Matters Now

With so many moving parts, working with a financial professional who understands how to sequence withdrawals, convert pre-tax assets, and time distributions could save you tens of thousands in taxes over the next decade.

Final Thought: The best time to plan for your retirement income is before you’re forced to make withdrawals. Let’s take advantage of the new rules to help you stay in control.