Happy New Year, retirement savers and retirees! As we dive into 2025, Secure 2.0 brings changes, and the One Big Beautiful Bill Act adds more. Key updates include Roth-only catch-up contributions for high earners in 401k plans, a higher state and local tax deduction cap, and a new senior deduction for those aged 65 and up.High earners, be aware: if you earn $150,000 or more in FICA wages and are over 50, your catch-up contributions to 401k or similar plans must go into the Roth option, not traditional tax-deferred ones. The base limit jumps to $24,500 for under-50s, with $8,000 catch-up over 50, or even $11,250 super catch-up if youre 60-63. This shift may impact higher-income workers, so consider maxing an IRA instead.The SALT deduction cap rises to $40,000 from $10,000, through 2030, but phases out over $500,000 modified adjusted gross income. High earners near this threshold might lean toward traditional retirement contributions or health savings accounts to qualify and save on taxes.Lastly, seniors 65 and up get a new $6,000 deduction through 2028, doubling to $12,000 for married couples. It stacks on standard deductions, boosting singles over 65 to about $24,150 total. Income limits apply over $75,000 for singles, so early retirees might tweak income to grab the full benefit without derailing other plans. Checkout Solipillow.com

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