New legislation opens the door to greater retirement security

See how new rules supported by TIAA can make a difference for you.
The Setting Every Community Up for Retirement Enhancement (SECURE) Act is one of the most significant pieces of retirement legislation in over 13 years. The SECURE Act brings much-needed reform to the retirement system and will help more Americans save for the future, increase their savings and gain access to guaranteed income for life when they retire.

Bringing people in

Many of the SECURE Act’s rules are designed to allow more people to save for retirement. A few examples include:
  • Permitting unrelated employers to offer a joint retirement plan to their employees
  • Giving incentives to small businesses to set up retirement plans
  • Allowing long-term, part-time workers to contribute to 401(k) plans

Helping you save more

Other rules offer new opportunities to save, including:
  • Raising the age when withdrawals from retirement accounts (RMDs) must begin from 70½ to 72, giving your money more time to potentially grow before you have to take it out
  • Increasing the amount that can be contributed under automated enrollment and contribution plans to improve retirement savings for those aren’t actively engaged in their plans
  • Allowing penalty-free withdrawals from retirement plans and IRAs for births or adoptions, along with the ability to pay the money back

Focusing on the importance of guaranteed income

The SECURE Act recognizes how important lifetime income is for helping people feel ready for retirement by:
  • Making it easier for employers to include annuities in their retirement plans
  • Requiring employers to show employees how their retirement account balances translate into guaranteed monthly income
  • Making it possible to move lifetime income balances in certain circumstances
This is a major step forward at a time when market investments alone are proving to be inadequate for many retirees. Other than pensions and Social Security, annuities are the only retirement option that can guarantee income for as long as you live. As life expectancy increases and healthcare costs continue to rise, annuities have become an important way for people to literally “insure” they won’t run out of money in retirement. 
TIAA has been a leader in supporting reform that improves the retirement security of all Americans and a strong advocate for the benefits that annuities provide. We began providing guaranteed lifetime income to educators in 1918. With more than 33,000 customers over the age of 90 receiving income from us today,* we’ve seen how guaranteed income in retirement has helped improve the financial security—and confidence—of our customers. The SECURE Act is a win for millions of people who want greater financial protection in retirement. We remain committed to working with policymakers on further improvements to Americans’ retirement and financial security.

More information

Check this page for further updates on these and other changes prior to when they take effect. For more information on the new rules for RMDs, go to the RMD resource page.
*As of 12/31/18.
Annuities are designed for retirement and other long-term goals. They offer several payment options, including lifetime income. Guarantees are based on the claims-paying ability of the issuer.