There are no RMD’s or NIIT on 529 distributions
If you decide to keep the 529 open throughout your life, there is never a required distribution, no RMD. Upon disbursement–even non-qualified–there is never additional 3.8% Net Investment Income Tax (NIIT), at times referred to as the “Obamacare” tax. This tax is levied on Modified Adjusted Gross Income (MAGI) of high-earning individuals, estates, and trusts.
No statement or example on this site should be considered a specific recommendation for your personal situation. Investing and tax strategies each carry significant risks. Examples herein may not apply to your situation. Please consult your estate attorney, tax advisor, or financial advisor for personal advice.