THE REVERE ADVOCATE – FRIDAY, AUGUST 18, 2023 Page 17 Wife of Everett Police Lt. killed in tragic accident at Franconia Falls Mom, 44, drowns trying to save son at popular New Hampshire waterfall By Steve Freker A 44-year-old Lynn mother and wife of an Everett Police lieutenant tragically drowned trying to save her 10-year-old son from getting swept away by a powerful current at a popular New Hampshire waterfall. Melissa Bagley, her family, and a friend were visiting Franconia Falls in Lincoln, N.H. Tuesday afternoon when her 10-year-old son slipped and fell into the water. Mrs. Bagley and her husband, Everett Police Lt. Sean Bagley, and their family were visiting the popular waterfall attraction Tuesday. 529 PLANS AND ROTH IRA ROLLOVERS B eginning in calendar year 2024, 529 College Savings Plan account holders will be able to roll over the funds in a 529 plan investment account into a Roth IRA in the name of the benefi ciary of the 529 plan up to a $35,000 lifetime limit. The 529 plan must have been owned by the beneficiary of the plan for at least 15 years. This is a valuable option when a child or grandchild decides not to go to college. If there are no other children or grandchildren with their own 529 plan to roll the monies into, rolling the 529 plan assets to a Roth IRA in the name of the benefi ciary not going to college is a good option, so long as the amount rolled over does not exceed $35,000. If the remaining assets in the plan then need to be cashed out, income taxes will be paid on the earnings as well as a 10% penalty. The contributions each year to the Roth IRA are subject to a limit. The limit for 2023 is $6,500. The conversion of 529 plan assets apply only to Roth IRA’s, not Traditional IRA’s. This was included in the SECURE 2.0 Act passed by Congress at the end of calendar year 2022. If, for example, there was $32,500 in your son’s 529 plan and he decided not to go to college, you could roll over $6,500 per year over the next fi ve years into his Roth IRA account until the 529 plan assets were fully exhausted. At the end of the five-year period, the 529 plan assets would be depleted and your son’s Roth IRA account would be equal to $32,500 plus any earnings over that fi ve-year period. There are no modified adjusted gross income limitations “One of the minor children slipped and fell into one of the pools at the falls,” the New Hampshire Fish and Game Department said. “He could not get out of the pool as it was a fast, circulating current. The mother jumped into the river to help her child and began to immediately have trouble.” Two other siblings then jumped into the river to help their brother and mother. While they were able to help their 10-year-old brother to safety, another brother, 18, became lodged in the waterfall’s boulders and could not escape. At that moment the children’s father, who was looking for their mother, found her on a rock and immediately began CPR. “Unfortunately, she was unable to be revived,” offi cials said in a release. The father then made his way to the second son’s location and was able to pull him to safety. “He went back to his wife’s location and waited for personnel to arrive,” the release added. The 18-year-old son was transported to Littleton Hospital in Littleton, NH after sustaining injuries. His current condition was not available at press deadline. Melissa Bagley, 44, died Tuesday in New Hampshire trying to save her 10-year-old son who was caught in a water current at a waterfall. She is the wife of an Everett Police lieutenant, Sean Bagley. with respect to the ability to fund the Roth IRA contribution each year by rolling over monies from the 529 plan. However, your son or daughter would have to have at least $6,500 in earned income in order to max out on the Roth IRA contribution each year. The Roth IRA contribution limit will increase to $7,000 in 2024. There is an additional $1,000 contribution allowed for those individuals who are 50 years of age or older. The IRS needs to clarify whether or not there needs to be sufficient earned income in order to rollover funds from the 529 plan to the Roth IRA in the name of the 529 plan benefi ciary. If your son or daughter had $32,500 in the 529 plan and the funds were rolled over to a Roth IRA, if the monies were invested over a 40-year period earning 8% per year, the balance in the account would exceed $706,000. This is another good reason to consider opening up a 529 plan for a child or grandchild. You now have more options available down the road if circumstances change and a child or grandchild decides not to attend college. Joseph D. Cataldo is an Estate Planning/Elder Law Attorney, Certifi ed Public Accountant, Certifi ed Financial Planner, AICPA Personal Financial Specialist and holds a Master’s Degree in Taxation.
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