In this episode, Ed and Dan explore a new SECURE 2.0 provision that may allow penalty-free withdrawals from certain qualified retirement plans to help pay long-term care (LTC) insurance premiums. Beginning after December 29, 2025, eligible plan participants under age 59½ may be able to access limited retirement funds without the 10% early withdrawal penalty when used for certified LTC insurance costs. The episode breaks down eligibility rules, dollar limits, plan restrictions, and what this means for federal employees enrolled in the FLTCIP.
Join us as Dan and Ed break down a new retirement planning strategy that could help certain workers manage rising long-term care insurance costs using qualified plan distributions.
In this episode, you’ll learn:
Source Article: https://stwserve.com/understanding-secure-act-2-0s-penalty-free-ltc-insurance-retirement-plan-distribution-provision/
“Securities offered through Raymond James Financial Services, Inc., member FINRA/SIPC. Investment advisory services offered through Raymond James Financial Services Advisors, Inc. Lee, Sipe & Associates, Inc. is not a registered broker/dealer and is independent of Raymond James. Content represents the opinions of the speaker and not necessarily those of Raymond James. Important Disclosure Information: https://raymondjames.com/smicd.htm.
The FedLife Podcast is your in-depth, biweekly deep dive into the world of federal benefits and retirement planning. Hosted by federal benefits expert Ed Zurndorfer and Dan Sipe of Serving Those Who Serve, each 30-minute episode unpacks the complexities of FERS and CSRS retirement, FEHB and Medicare, survivor benefits, tax planning, and more. Designed for federal employees and retirees who want more than just the basics, FedLife goes beyond the headlines to explore the rules, nuances, and strategies that can make a meaningful difference in your retirement. Remember: it’s your Fed life, make it a great one.
The Fed15 Podcast is your weekly 15(ish)-minute briefing on federal benefits and financial planning, built specifically for federal employees and retirees. Hosted by Dan Sipe and Katelyn Murray of Serving Those Who Serve, each episode delivers clear, actionable guidance on topics like FERS and CSRS retirement, TSP strategies, FEHB, survivor benefits, tax planning, and more! Whether you’re five years from retirement or already there, The Fed15 helps you cut through the noise, avoid costly mistakes, and make confident decisions about your federal benefits.
