Given the recent changes on rolling over a 529 plan, could one start a 529 plan and then convert it to a Roth 15 years down the line if they don't use it for any schooling? I haven't considered 529 plans before and I am not sure if this is a loop hole and legal to do.
I am assuming with this approach one would:
be limited to having at most $35,000 in the 529 plan as this is the most that can be rolled over
$35,000 / $6000 per year ~ 6 yearsto rollover the lifetime limit to a Roth IRA assuming current IRA contribution limits.
would not need to save another $6000 during the years in (2) as the conversion counts as part of the limit.
Are my points above correct and is this legal?