WealthRabbit Support

Can I move funds from a 529 plan to a Roth IRA in 2026?

Yes — if you meet the criteria.

• Starting in 2024, you may roll over up to $35,000 total from a 529 plan to a Roth IRA, tax and penalty-free, if:
   
  • The 529 account is at least 15 years old.
     
  • Contributions/earnings being rolled over are at least 5 years old.
     
  • The Roth IRA is in the same beneficiary’s name.
     
  • You follow the annual Roth contribution limit (e.g., $7,000/year max in 2025).
     

This provision still applies in 2026 and can be a smart tax-free conversion strategy.