📅 2026 Update: Key Changes in Retirement Savings and Consumer Finance

Since the original article on the Series 63, several important changes have occurred in personal finance and retirement savings. The SECURE 2.0 Act brought significant updates that affect how people save for retirement and manage their investments. This update highlights those changes, which may impact your financial planning and retirement strategies.

The earlier article continues further down the page.

🆕 2024 Changes to Required Minimum Distributions (RMDs)

Starting in 2024, the rules around RMDs have changed significantly. Individuals with retirement accounts, like IRAs and 401(k)s, no longer need to take RMDs from Roth accounts in employer plans. This change allows for more flexibility in retirement savings.

  • 📉 Age Increase: The RMD age has been raised to 73 for those born between 1951 and 1959, and to 75 for those born in 1960 or later, effective in 2033.

💰 Lower Penalties for Missing RMDs

The penalty for not taking an RMD has decreased. It was previously 50% of the missed amount. Now, it is 25% and can drop to 10% if corrected within two years.

This change reduces the financial burden for those who may forget to take their distributions.

📈 Increased Catch-Up Contributions

Beginning January 1, 2025, individuals aged 60 to 63 can contribute up to $11,250 in catch-up contributions to eligible retirement plans. This is an increase from the previous limit of $8,000. This change aims to help older workers save more as they approach retirement.

🎓 529-to-Roth IRA Rollovers

Starting in 2024, individuals can roll over up to $35,000 from 529 college savings plans to a Roth IRA. This change allows families to use leftover college savings for retirement, providing greater financial flexibility.

📌 Summary of Key Changes

  • 📅 RMD age raised to 73 (born 1951-1959) and 75 (born 1960 or later).
  • 💸 Penalty for missing RMDs reduced to 25%, and 10% if corrected timely.
  • 📈 Catch-up contributions increased to $11,250 for ages 60-63 starting in 2025.
  • 🎓 Roll over up to $35,000 from 529 plans to Roth IRAs starting in 2024.

💡 Tips for Navigating Retirement Accounts

Review your financial situation closely with your attorney to ensure you understand the implications of these changes.

📝 Assess Your Retirement Accounts

Look closely at your retirement accounts and investment options. Different accounts have various fees and requirements. Understanding these can help you maximize your savings.

📊 Consider RMD Changes

If you are approaching retirement, check your RMD schedule. The changes in age for RMDs mean you might have more time to grow your savings before needing to withdraw funds.

💵 Take Advantage of Catch-Up Contributions

If you are between the ages of 60 and 63, plan to utilize the higher catch-up contributions. This could greatly enhance your retirement savings as you near the end of your working years.

🎓 Explore 529 Plan Options

If you have a 529 college savings plan, consider how the new rollover options to Roth IRAs could benefit your retirement strategy. This allows you to repurpose funds originally meant for education.

🏦 Monitor Your Investment Fees

Keep an eye on the fees associated with your retirement accounts. High fees can eat into your savings over time. Comparing options can lead you to more cost-effective choices.

❓ Frequently Asked Questions

❓ What is the SECURE 2.0 Act?

The SECURE 2.0 Act is a law that introduced significant changes to retirement savings, including increased RMD ages and new rules for catch-up contributions.

🔍 How do I rollover a 401(k) to an IRA?

To roll over a 401(k) to an IRA, contact your 401(k) plan administrator and request a direct rollover. You will need to provide your IRA account information for accurate transfer.

💼 What are the penalties for not taking RMDs?

The penalty for failing to take an RMD is now 25% of the missed amount, and it can be reduced to 10% if corrected within two years.

📈 Can I withdraw money from my retirement account for emergencies?

Starting in 2024, individuals can withdraw up to $1,000 per year from retirement accounts for emergencies without incurring a 10% early withdrawal penalty.

🎓 What are the benefits of the 529-to-Roth IRA rollover?

The 529-to-Roth IRA rollover allows individuals to transfer up to $35,000 from a college savings plan to a Roth IRA, providing more flexibility in retirement savings.

🔄 How do catch-up contributions work?

Catch-up contributions allow individuals aged 60 to 63 to contribute additional funds to their retirement plans, increasing the total amount saved for retirement.

⚖️ Recent Cases Related to Retirement and Consumer Finance

Recent court rulings have impacted regulations surrounding retirement plans and fiduciary responsibilities. These rulings can affect how financial advisors operate and how individuals manage their retirement accounts.

For more details, you can browse more rulings on the news page.

End of October 2026 Update






What is the Series 63 License?



Guide to the Series 63

• The series 63 license is awarded to individuals who pass the Uniform Securities Agent State Law Examination (more commonly referred to as the Series 63 examination). Similar to the Series 7 examination, the Series 7 test is administered by the Financial Industry Regulatory Association (FINRA). The Series 63 license enables its holder to solicit order for any type of security in the particular state where they passed the examination. In general, the examination for the Series 63 license will cover the majority of state laws and regulations concerning investment products and proper conduct when communicating with respective clients. 

• The Series 63 examination is developed by the North American Securities Administrators Association; the test is designed to qualify prospective candidates as securities agents within a specific state. The majority of states in the U.S. require individuals to pass the Series 63 as a condition of state registration and to satisfy the particular Blue Sky laws, which regulate broker-dealers in the securities market.

What does the Series 63 Examination Consist of?

• The Uniform Securities Agent State Law Exam will consist of 65 multiple-choice questions. Candidates are granted 75 minutes to complete the examination; the test-taker, in order to pass and obtain the Series 63 license, must attain a score of at least 72%. 

• Of the 65 questions on the Series 63 examination, only 60 will count toward the final score (the 60 countable questions are chosen at random). The reason for this scoring system is because the remaining or uncounted 5 questions are used for pre-testing reasons and possible inclusion in the operational question bank. The 5 uncounted questions may appear anywhere in the examination and are not marked as experimental. 

• The series 63 examination will cover the principles of state securities regulation outlined primarily in the Uniform Securities Act. The Series 63 Examination is intended to provide a framework for state security administrators in order to accurately determine an applicant’s knowledge and general understanding of state law and regulations. 

• The test is broken-down into the following subjects with the # of questions listed in the appropriate parentheses: Registration of persons (24), Securities (6), Business Practice (24) and Administrative Provisions and/or other remedies (6).