Turn Excess 529 Funds Into Your Kid's Retirement Nest Egg
Financial planning, Retirement
Turn excess 529 funds into your kid's retirement nest egg
Unlock new financial possibilities and kickstart the retirement savings of your children or grandchildren. Thanks to enhancements to 529 college savings plans, qualified distributions now offer even more flexibility. Most notably, you can potentially roll over remaining balances in these plans into the beneficiary's Roth IRA.
· Excess 529 funds can be rolled over to the beneficiary’s Roth IRA, subject to certain limitations.
· This is a great way to jump start the beneficiary’s retirement savings.
· Check whether your state recognizes 529 to Roth rollovers for state tax purposes.
Authors
UBS Editorial Team