Expert Network Team

Episode 73: 2023 Tax Law Changes for Business Owners and Other Employers

Episode Summary

Karl Frank, CFP and Nathan Merrill discuss the tax law changes that are most likely to affect business owners and other employers.

Episode Notes

Karl Frank, CFP and Nathan Merrill discuss the tax law changes that are most likely to affect business owners and other employers. At the end of 2022, Congress passed more than 90 changes to the tax laws and many of these affect employers, especially with retirement plans.

• Roth-a-mania, many new rules around after-tax retirement plans, most of them provide a long-term benefit of the tax-payer
• Cinnamon roll: instead of a donut hole, which is a phrase used to describe a problem with Medicare, the cinnamon roll benefits folks aged 60 to 63
• Bribery, how employers can use low-dollar gift cards to incentivize workers to contribute to their 401k plans
• Tax credits for starting retirement plans
• Catch-up contributions must go into Roth IRAs for folks who earn $145,000 or more
• Multiple Employer Plans and Pooled Employer Plans are a little easier to work with
• Emergency savings accounts, allowing employees to get money out of their retirement plans, regardless of age
• 529 plans can roll into Roth IRAs

The experts discuss these changes, and more, and crack a few jokes as well.