The House passed the Secure Act last Thursday, which will give a big boost to retirees of small businesses, among others.

The bill, which was backed by both Democrats and Republicans, makes it easier for small businesses to offer 401(k) plans to employees.

The Secure Act is for the most part an overhaul of the US retirement system. Much will remain the same, but for those currently working under many different conditions, it will be a huge change should the act make it through the Senate. The beneficiaries of the act would be long-term, part-time employees, employees of small employers, and many others. The changes would be the most significant since the 2006 Pension Protection Act.

There will be many new changes if the Secure Act makes it through both the Senate and the President. Most of the provisions of the act would have a huge effect on an individual’s finances. Some of the potential changes include:

• Allowing long-term, part-time workers to participate in 401(k) plans
• Repealing the maximum age for traditional IRA contributions (currently 71 1/2)
• Allowing more annuities to be offered in a 401(k)
• Parents would be allowed to withdraw up to $5,000 from retirement accounts within a year of adoption or birth, without penalties
• Parents would be allowed to withdraw up to $10,000 from 529 plans in order to pay student loan debt