529-Roth IRa
Effective in 2024, an individual can transfer tax and penalty free 529 funds to a Roth IRA. One of the many requirements is the 529 account must’ve been open for 15 years.
When does the 15 year hold start?
Date the account was established, Date of first funding, tax year? Other?
All guidance is appreciated.
Thank you in advance
Permalink Submitted by Alan - IRA critic on Fri, 2024-01-12 00:50
Just another issue that requires IRS guidance. There are 4 possibilities for defining the start of the 15 year period. They are 1) 1/1 of the year the account was opened 2) 1/1 of the year in which the first 529 contribution was made 3) The actual date the account was opened, or 4) the actual date of the first contribution.