In December 2022,  the federal government enacted SECURE 2.0 of 2022, which delivers dozens of retirement-related provisions. Among them is the ability to make tax- and penalty-free rollovers from your 529 plan into a Roth IRA. 

Before starting a rollover to a Roth IRA, check the requirements that must be met to roll over unused 529 funds. As always, you should consult with your tax, investment, and legal advisors about your personal circumstances.

Check Eligibility

In addition to rolling funds into a Roth IRA, you have many options in the event your student doesn’t use all their GET or Invest funds.

• keep the money in the account in case your student decides to continue their education in the future.
• change the beneficiary on the account to another family member.
• hold on to the account and use the funds for your future grandchildren’s education.
• take a non-qualified withdrawal that includes any earnings you have accumulated to date (taxes and penalties will apply).

On July 4, 2025, the H.R.1 - One Big Beautiful Bill Act was signed into law. This bill introduced new provisions expanding the use of 529 plans for K-12 Expenses and Qualified Expenses to include Post-secondary Credentialing Costs. 

K-12 Expenses include:

• Tuition
• Curriculum and curricular materials
• Books or other instructional materials
• Tuition for tutoring or education classes outside the home if instructor is a licensed teacher, taught at an eligible educational institution or is a subject matter expert
• Fees for standardized tests (i.e. - SAT and ACT), AP exams, and any exam related to college or university admission
• Fees for dual enrollment at an institution of higher education
• Educational therapies for students with disabilities (provided by a licensed or accredited practitioner or provider)
   

K-12 annual limit of $10,000 will increase to $20,000 beginning January 1, 2026. 
 

Qualified Post-secondary Credentialing Expenses include: 

• Tuition, fees, books, supplies, and equipment required for the enrollment or attendance of a beneficiary in a recognized postsecondary credentialing program (with qualifiers)
• Fees for testing if required for the recognized postsecondary credential
• Fees for continuing education if required for the recognized postsecondary credential
• Adds definition of Recognized Postsecondary Credential Program and Recognized Postsecondary Credential