Unused 529 Plans? A New Law in 2024

Starting in 2024, tax-free Rollovers From 529 Accounts to Roth IRAs.

This helps taxpayers with a balance remaining in their 529 after the beneficiary's education is complete.

The 529 account must have been open for more than 15 years.

The rollover can't exceed the aggregate amount contributed to the account (and earnings thereon) more than five years before the rollover.

Aggregate rollovers under the provision can't exceed $35,000 over the beneficiary's lifetime. Rollovers are subject to the Roth IRA annual contribution limits ($6,000 or $7,000 if over 50), but the limit based on the taxpayer's adjusted gross income is waived.