A 529 Transfer to a Roth may be Taxable in Your State
SECURE 2.0 allows you to transfer funds from a 529 plan to a Roth. This is tax-free for federal purposes, but may be taxable in your state.
Section 126 of SECURE 2.0 allows beneficiaries to roll over up to the current annual Roth limitation ($7,000 or $8,000 in 2024) from a Section 529 plan to a Roth.
You must meet the following requirements:
