From the inbox:

Jeremy, I remember that you aren’t a big fan of 529s . But now that you can move excess 529 funds into a Roth IRA (thanks to Secure Act 2.0) … now, surely, you must LOVE them! Right?

Actually…. no.

Why I Still Don’t Love 529s

Way back in the day I chose not to contribute to 529 plans for our kids because there was minimal benefit.

See: Why GCCJr has no 529

tldr: I already get tax-deferred / tax-free gains, have full access to all funds, and don’t risk penalties or converting my nice 0% capital gains into more heavily taxed ordinary income

But, with the Secure Act 2.0, a new option was created: the option to rollover unused 529 funds into a Roth IRA in the future.

At face value, that seems like a nice option. But does it mean contributing to a 529 is now a MUST?

I think the answer is no.…