Caregivers: ABLE + 529: What You Need to Know About Rollovers, Contribution Caps & Taxes

When it comes to saving for your loved one’s future, 529 Plans and ABLE (529A) accounts can work hand in hand. Here’s what caregivers need to know:

• Rollovers are allowed: You can roll funds from a 529 College Savings Plan into an ABLE account — up to the annual contribution limit.
• No tax penalty: When done correctly, rollovers are tax-free, helping you redirect unused education savings into future-focused ABLE goals.
• Keep an eye on contribution caps. The total contributions — including rollovers — can’t exceed the ABLE annual limit ($19,000 for 2025; $20,000 for 2026).

This flexibility gives families the confidence to plan for both education and long-term independence without worrying about lost funds.

Talk with your financial planner or visit our Forms and Documents page to learn how a 529-to-ABLE rollover could benefit your family.