CARES Act Retirement Plan Changes

CARES Act Retirement Plan Changes

Required Minimum Distributions for individuals of the age of 70 1/2 are suspended for 2020. The 10% penalty for early distributions from retirement plans such as Individual Retirement Accounts (IRAs) and 401(k)s has been waived for the year 2020. The penalty waiver will be applicable for the calendar year 2020 on up $100,000 in distributions. 

Additional guidance from the IRS is forthcoming.