Rollovers

Important considerations

  • When you can rollover funds. Internal Revenue Service (IRS) rules allow funds to be rolled over from one state’s 529 plan to another state’s 529 plan once every 12 months for the same beneficiary.
  • Member of the family. Alternatively, you can rollover funds between 529 plans any time for a different beneficiary as long as that beneficiary is a member of the previous beneficiary’s family.
  • Time limit to transfer funds. Funds must be placed into a different 529 plan within 60 calendar days from withdrawal to be considered a qualified rollover, according to IRS rules.
  • Applies to Coverdell. These considerations also apply to a rollover from or to a Coverdell Education Savings Account (ESA).
  • Tax consequences may ensue. See below.

Types of Rollovers

  • Incoming – To my529 from another 529 plan
  • Outgoing – From my529 to another 529 plan, or to an Achieving a Better Life Experience (ABLE) Plan.

Incoming rollovers

How to roll over funds to my529 from another 529 plan

  • Open a my529 account.
  • If the other 529 plan allows it, you can request my529 to initiate the rollover by submitting the Incoming Direct Rollover form (Form 210).
  • Alternatively, use the Liquidated Funds Transfer form (Form 215).
  • Be sure to submit the balance within 60 days of the withdrawal to my529.

Tax considerations

Benefit eligibility.

A Utah taxpayer who rolls over funds from another state’s 529 plan is eligible for Utah state income tax benefits. See Tax Advantages.

Necessary documentation.

A rollover to my529 from another state’s 529 plan must include documentation showing the portion that is principal and the portion that is earnings, if any. A rollover that does not include this documentation must be considered 100% earnings, according to federal law.

Know state benefits, consequences.

Non-Utah taxpayers and residents should determine (1) whether the state where they or their beneficiary pay taxes offers a 529 plan that provides tax benefits not available by investing in my529, and (2) the consequences of rolling funds over from that state’s 529 plan to my529.

Outgoing rollovers

How to roll over funds from my529 to another 529 plan or to an Achieving a Better Life Experience (ABLE) plan

  • Submit a Withdrawal Request form (Form 300) to my529.
  • Alternatively, instruct the other 529 plan or ABLE plan to submit a withdrawal or rollover request form to my529.
  • Any request must be dated and signed. It must include the amount to be rolled over, to whom the check should be payable, and where the check should be sent.
  • The my529 account will be closed if the entire account balance is rolled over.
  • my529 requires a stamped or typed signature guarantee from a financial institution if an outgoing rollover request:
    • is for $75,000 or more.
    • is made in combination with withdrawal requests totaling $75,000 or more for the same beneficiary within a 30-day period.
    • is made within 10 days of an account owner change.
    • includes a signature on Form 300 that does not match the account owner’s signature on file.

Outgoing Rollovers to an Achieving a Better Life Experience (ABLE) Account

  • A my529 account owner can rollover the balance in a my529 account to an ABLE account owned by the same beneficiary or member of the beneficiary’s family. Utah does not have an ABLE plan.
  • A rollover will count toward the annual ABLE account contribution limit of $15,000. Any amount that exceeds the limit will be considered part of the beneficiary’s income.
  • A rollover from a my529 account to an ABLE account is a nonqualified withdrawal (See Tax considerations below).
  • Ask your ABLE plan about their process for rolling over funds.
  • Follow the withdrawal instructions above to rollover funds to an ABLE plan.
  • The provision of federal law allowing rollovers from a 529 account to an ABLE account is currently scheduled to expire after December 31, 2025.

Tax considerations

Add back as income:

Utah taxpayers who roll over funds from my529 to another state’s 529 plan must add back the amount of the rollover as income on their Utah state income tax form for the taxable year the rollover is made.

Tax consequence:

A Utah taxpayer who rolls over funds to another state’s 529 plan is no longer eligible for Utah state income tax benefits.

ABLE rollovers:

Utah taxpayers must add back the amount of the rollover to an ABLE plan as income on their Utah state income tax form for the taxable year the rollover is made. However, Utah taxpayers can claim a Utah state income tax credit for contributions to an account in another state’s ABLE plan.

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  • Email: info@my529.org

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Please Read. This Is Important.

Do not invest with my529 until you read the Program Description.

Read our Legal Notice & Disclaimer. If you are going to invest your money in a my529 account, we encourage you to learn how our college savings plan works. The Program Description explains the investment options, rules on contributions and withdrawals, tax benefits, fees, and risks. Your investment could lose value. Except for the FDIC-insured option, my529 investments aren’t guaranteed.

Important Legal Notice

Investing is an important decision. The investments in your account may vary with market conditions and could lose value. Carefully read the Program Description in its entirety for more information and consider all investment objectives, risks, charges and expenses before investing. For a copy of the Program Description, call 800.418.2551 or visit my529.org.

Account Value. Investments in my529 are not insured or guaranteed by my529, the Utah Board of Higher Education, the Utah Higher Education Assistance Authority Board of Directors, any other state or federal agency, or any third party. However, Federal Deposit Insurance Corporation (FDIC) insurance is provided for the FDIC-Insured investment option. In addition, my529 offers investment options that are partially insured for the portion of the respective investment option that that includes FDIC-insured accounts as an underlying investments. Units in my529 have not been registered with the United States Securities and Exchange Commission or with any state securities commission.

FDIC insurance is subject to limits set by federal law. Click here for more information about FDIC Insurance.

Non-Utah Taxpayers and Residents. The state in which you or your beneficiary pay taxes or live may offer a 529 plan that provides state tax or other benefits, such as financial aid, scholarship funds, and protection from creditors, not otherwise available to you by investing in my529. You should consider such benefits, if any, before investing in my529.

Consult an advisor. my529 does not provide legal, financial, investment, or tax advice, and the information provided on this website does not contain advice and cannot be construed as such or relied upon for those purposes. You should consult your own tax or legal advisor to determine the effect of federal and state tax laws on your particular situation.

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