If I have two 529 plans, what are the considerations for which plan should I withdraw the money first (for qualified education expenses)?
Is it better to withdraw and deplete the money from the plan which has accumulated more gains first, since in the event (however unlikely) that I want to make non-qualified distributions in the future, the remaining gain and therefore the tax is less?
Or is there a pro-rata rule (like for IRAs) to compute the basis/gain?
Assume the 529 plans are overfunded.
Is it better to withdraw and deplete the money from the plan which has accumulated more gains first, since in the event (however unlikely) that I want to make non-qualified distributions in the future, the remaining gain and therefore the tax is less?
Or is there a pro-rata rule (like for IRAs) to compute the basis/gain?
Assume the 529 plans are overfunded.
Statistics: Posted by indexfundfan — Sat Mar 02, 2024 7:36 pm — Replies 2 — Views 275