David Gardner: College savings plans for retirement and free money
With the new year almost here, a fresh technique to repurpose college savings accounts and move them into a tax-free Roth IRA will soon become available. When I first heard about this new rule that was part of SECURE 2.0, it sounded too good to be true. Who wouldn’t want the opportunity to move funds that are limited to education spending to a Roth IRA, which offers the promise of a lifetime of tax-free growth? Sure enough, there are many caveats to follow and pitfalls to be avoided, but ultimately there is the potential to move money from a 529 plan to a Roth IRA over time. Let’s consider...
Source: timescall.com