What if I rolled over my qualified tuition program distribution into a Roth IRA?

Beginning with distributions made after December 31, 2023, a beneficiary of a section 529 qualified tuition program is permitted to roll over a distribution from the section 529 account to a Roth IRA for the beneficiary if certain requirements are met.

• The rollover must be made through a direct trustee-to-trustee transfer.
• The rollover amount cannot be more than the Roth IRA annual contributions limit.
• The rollover must be from a section 529 account that has existed for 15 or more years prior to the date of the rollover.

The distribution is paid in a direct trustee-to-trustee transfer (rollover) into a Roth IRA maintained for the benefit of the designated beneficiary. The distribution cannot exceed the aggregate amount contributed to the program (and earnings attributed to the contributed amount) before the 5-year period ending on the date of the distribution.