Ramsey Everyday Millionaires Can We Keep My Son’s Leftover 529 Money for His Kids?
Mar 16, 2026
Alan, a family member who funded a $120,000 529 for his son, calls about preserving it for future generations. Conversation covers Secure Act 2.0 Roth rollover rules, keeping the account as an education endowment for grandchildren, projected long-term growth if left untouched, and flexible beneficiary and transfer options for relatives.
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Use Secure 2.0 To Roll 529 Funds Into Roths
- Do use Secure 2.0 rollover rules to move unused 529 funds to Roth IRAs when appropriate.
- Hosts mentioned you can roll up to $35k from a 529 to a Roth if the 529 has been open 15+ years subject to limits.
529 Beneficiaries Are Flexible Within Family
- Insight that 529 beneficiary rules are flexible and support family transfers across generations.
- Hosts noted beneficiaries can be changed to siblings, nieces, nephews, grandchildren, spouse, or even yourself later.
Let Time And Compounding Turn 529s Into Millions
- Do consider letting the 529 compound rather than spending it now to potentially create massive future value.
- George showed math: $90k left from age 20 to 48 could grow to about $1.4M without additional contributions.