Updated September 29, 2026. Quick answer: A 529 plan contributor can elect under 26 U.S.C. §529(c)(2)(B) to spread a lump-sum contribution over 5 years for gift-tax purposes, meaning the most that can be contributed in one year without using any lifetime gift-tax exemption is 5 times the annual gift tax exclusion: $95,000 for a single contributor and $190,000 for a married couple electing to split gifts, unchanged for 2026 because the underlying $19,000 annual exclusion did not move between 2025 and 2026. The 2027 annual exclusion, and therefore the 2027 five-year-election amount, has not yet been publicly projected by a named forecaster in a source this page could access.
Form 709 (gift tax return), read line by line: Form 709 Part I lines 1 to 21, Form 709 Part II lines 1 to 12, Form 709 Part II lines 13 to 20 and Form 709 Part III lines 1 to 7.
Form 706 (estate tax return), read line by line: Form 706 Part I lines 1 to 14, Form 706 Part II lines 1 to 8, Form 706 Part II lines 9 to 12 and Form 706 Part II lines 13 to 23.
More IRS forms and schedules, read line by line: Form 1098-T instructions.
Where the election is made and reported: the Form 709 due date and extension, Form 709 gift splitting and what Form 709 reports versus the annual exclusion.
The five-year election amount, 2025-2026
Related guides: 529 plan tax deduction by state and Gift tax by state.
| Year | Annual gift exclusion | 5-year election: single | 5-year election: married, gift-splitting |
|---|---|---|---|
| 2025 | $19,000 | $95,000 | $190,000 |
| 2026 | $19,000 (unchanged) | $95,000 | $190,000 |
| 2027 | Not yet projected | Not yet projected | Not yet projected |
Why this is five times a different page’s number, not its own figure
26 U.S.C. §529(c)(2)(B) does not set its own dollar limit; it says that if a 529 contribution in one calendar year exceeds the annual gift tax exclusion under §2503(b), the donor may elect to treat the aggregate contribution as made ratably over the 5-year period beginning with that year, for purposes of the gift-tax exclusion only. IRS Revenue Procedure 2025-32, section 4.42, confirms the 2026 annual exclusion is $19,000 per donee, identical to the 2025 amount confirmed in Revenue Procedure 2024-40, section 2.43. Multiplying by 5 gives the maximum one-year 529 contribution a single donor can make without dipping into their lifetime exemption ($95,000), and multiplying the doubled per-recipient exclusion by 5 gives the married, gift-splitting figure ($190,000). These multiplied totals are this page’s own arithmetic applied to the confirmed statutory figures, not a number stated directly in any single source.
The 2027 gap: a paywall, not a missing forecast
Thomson Reuters Checkpoint’s September 11, 2026 key-figures article states that it has calculated “projected 2027 adjustments for key transfer tax and foreign items,” which would include the annual gift tax exclusion, but that content sits behind a separate, authenticated Checkpoint page this page’s research could not access. Several unattributed blog posts guess $20,000 for 2027, but none of them cite a named forecaster’s actual published figure, so this page reports the 2027 annual exclusion and five-year election amount as genuinely not yet confirmed rather than repeating an untraceable guess.
The rates are already settled. Only the thresholds are still moving.
That is enough to plan against. A Roth conversion, a deferred bonus or a gain taken in 2027 can be sized today against the 10%, 12%, 22%, 24%, 32%, 35% and 37% rates the statute already fixes, without waiting for the Revenue Procedure. If you want someone to price that decision against your own income rather than a projection, this is the point to ask.
Before you start, what actually happens. The form is run by Kapitalwise, our advisor-matching partner. Kapitalwise sends your details to advisers who pay for the introduction, so expect calls and texts. Clear Money Guide is paid when you submit the form, whether or not you ever hire anyone. This is free to you and there is no obligation to hire anyone.
The Kapitalwise form opens here. You stay on this page.
What happens when you press the button
It asks about nine questions (age, investable assets, location), then your name, email and phone number, and verifies the phone by text. Nothing loads and nothing reaches Kapitalwise until you press the button.
Sources
The annual gift tax exclusion amounts on this page were checked against IRS Revenue Procedures 2025-32 (2026 amounts) and 2024-40 (2025 amounts) and 26 U.S.C. §529(c)(2) on September 29, 2026.
- 26 U.S.C. §529(c)(2)(B), via Cornell Law School's Legal Information Institute: the statutory text of the 5-year gift-tax averaging election, read directly from the codified statute.
- IRS Revenue Procedure 2025-32, section 4.42: the confirmed 2026 annual gift tax exclusion of $19,000 per donee, read directly from the PDF's text.
- IRS Revenue Procedure 2024-40, section 2.43: the confirmed 2025 annual gift tax exclusion of $19,000 per donee, read directly from the PDF's text.
- 26 U.S.C. §529 (uscode.house.gov): the statute that defines these figures.
Statute: 26 U.S.C. §529(c)(2)(B), referencing the annual gift tax exclusion under §2503(b).
Related
General information, not tax or legal advice. This page will be updated with the official 2027 figure the day it is announced.