529 to Roth
Assume that a parent has funded a 529 for a child who decides against postsecondary education. Could the parent name himself as the beneficiary of the 529, then convert it to his Roth?
Tomorrow’s Scholar says that when you change the beneficiary it automatically generates a new account number further complicating the issue.
Permalink Submitted by PaulC on Tue, 2024-03-26 18:01
As far as I know, questions such as this around the 529 to Roth IRA rollover remain undetermined, since the IRS hasn’t issued detailed rules. Issues such as this are not specified in the tax code of the SECURE Act 2.0 itself.