Hi all,
Will the below work? From everything I read this seems correct...
I have a son who is 2 months old, if I open a 529 with him as the beneficiary from reading it sounds like I can disperse that 529 but to my son's name as beneficiary. Then, I would owe a 10% tax penalty, and it would count as ordinary income for him and then I could move it into roth IRA in his name.
Is that correct?
I'd love to do that each year so that by the time he is 18 he has 90k in roth ira contributions plus gains for his long term retirement.
Thoughts? Problems?