I'm planning on setting up a Colorado State sponsored 529 plan for each of my grandchildren with me as the donor/owner. The aggregate contribution limit for each beneficiary is $500,000 in this state. If I contribute/grow the fund to the maximum amount and educational expenses are less than the accumulated total, what are the distribution options other than transferring the account to someone else? Can the remainder be converted to a Roth IRA for the beneficiary? Would there be penalties upon withdrawal. The truth is that this will likely not be my problem but I don't want to create problems for whoever is managing this asset.
Statistics: Posted by diehard — Sat Sep 07, 2024 11:38 am — Replies 0 — Views 55