529 Plan to ROTH IRA Rollover
The SECURE 2.0 Act allows, effective January 1, 2024, unused Sec. 529 funds to be transferred to a Roth IRA with the following restrictions:
- The account has been maintained for at least 15 years.
- You cannot roll over any contributions or earning from the last five years of the Sec. 529 account to a Roth IRA.
- The Roth IRA must be that of the Sec. 529 account’s designated beneficiary.
- While the aggregate transfer is limited to $35,000, the annual Roth IRA contribution limit will still apply.