Personal Investments • 529 transfer

My daughter 529 account is with College America and it’s managed by my ex’s high school friend. He does not charge anything, or at least that’s what I was told. The performance of this account is worse than what I would expect but it’s not so bad. I do not really have any control over the investments so I would like to move the money somewhere else.
I live in MD, but I feel like the investment options are not so good here. MD has a $2500 tax deduction but I’m not sure if it’s worth it (5% out of $2500 is $125 per year). And I’m not sure if a transfer would count as a contribution.
I was thinking about transferring the money to the UT plan because it’s one of the best, a lot of investment options, and low fees.
My daughter probably won’t use all the money so I would like to be able to transfer it to ROTH IRA at some point. But I’m not sure if transferring the money would restart the time bc the account has to be open for 15 years to do a ROTH IRA transfer.
1) Should I move my daughter’s 529 to MD or another state, where the investment options might be better?
2) Should I leave 35k, the max amount that can go to ROTH IRA, in the current account and move the rest?

Statistics: Posted by goska — Thu Sep 19, 2024 1:59 pm — Replies 1 — Views 109

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