529 to Roth IRA Rollover Calculator (2026)

Section 126 of the SECURE Act 2.0 lets a 529 beneficiary move unused funds from their 529 into their own Roth IRA. It solves the classic 529 problem of what to do with a leftover balance if the beneficiary does not need it for education. Effective 1 January 2024, up to $35,000 per beneficiary can be rolled over across the lifetime of the account, subject to the annual Roth IRA contribution limit each year.

The rollover must go to a Roth IRA owned by the 529 beneficiary. The account owner (usually the parent) cannot roll into their own Roth. If the 529 has multiple potential beneficiaries over its life, only the current beneficiary can be the Roth IRA recipient. This is why the SECURE 2.0 rule works best for the child the plan was originally opened for, not siblings or grandchildren picked up later.

The 15-year account age rule prevents using the 529 as a short-term Roth workaround. It ensures the money was originally saved with an education intent, not routed through a 529 solely to avoid the Roth IRA income limits. Treasury Regulations issued in 2025 are still refining how a beneficiary change interacts with the 15-year clock. Current conservative guidance: assume changing beneficiaries after year 10 restarts the clock, and get a tax opinion before doing so if a rollover is imminent.

No. Each year's rollover is limited to that year's Roth IRA contribution cap ($7,500 in 2026, or $8,600 if the beneficiary is 50+). So the fastest realistic path to the full $35,000 lifetime cap is roughly five tax years of $7,500 rollovers (or fewer years if the beneficiary is age 50+). Any personal Roth contribution the beneficiary makes in the same year reduces what can be rolled from the 529, because they share the annual cap.

Only contributions (and their earnings) made to the 529 more than five years ago are eligible to roll. Recent contributions are not. This is another anti-abuse rule: it stops parents from stuffing $35,000 into a 529 in one year and rolling it out to a Roth the next. In practice this only matters if you started the 529 late and the beneficiary needs the money fast; for accounts that have been growing for a decade or more, the seasoning rule is easily met.

Yes. The beneficiary must have earned income (W-2 or self-employment) at least equal to the rollover amount in the tax year of the rollover. A recent graduate working part-time who earns $6,000 can only roll $6,000 that year, even if the Roth annual limit would otherwise allow $7,500. This mirrors the earned-income rule for regular Roth IRA contributions.

No. The 529-to-Roth rollover is not subject to the normal Roth IRA income phase-outs. A high-earning beneficiary who could not directly contribute to a Roth IRA because of their income can still receive a 529 rollover to their Roth. This is one of the most powerful edges of the SECURE 2.0 rule for high-income young professionals with a leftover 529 from their parents.

The lifetime cap is per beneficiary, not per account. Once the $35,000 rollover is exhausted for one beneficiary, you have to use the remainder some other way. Options include: change the beneficiary to another qualified family member and eventually roll another $35,000 to that person; use it for qualified education for the current or a new beneficiary; take a non-qualified withdrawal and pay income tax + 10% penalty on the earnings; or hold it for a future generation (a 529 can be passed down and grow tax-free for decades).