What can 529 funds be used for if my child doesn't go to college?

如果你曾经 为孩子的教育存钱 using a 529 plan and they've decided not to attend college, you may be wondering what options are still available to use the money.

529计划规则

529年计划 were established to provide a tax-advantaged way to save for education. 存进529计划的钱 generally grows tax-deferred at the federal level. Withdrawals used to pay for qualified education expenses such as college tuition, 食宿, 费用, 书, supplies and equipment required for courses are generally tax-free.

A 529 plan isn't just for post-secondary education anymore. 新 制定规则 allow 529 plan funds to be used for tuition at elementary and secondary schools — up to $10,每名学生每年5万美元. Be sure to check your state's 529计划规则, however, as they vary by region.

Can a 529 be used for a trade or vocational school?

These qualified expenses aren't just for a traditional four-year college. These funds can go toward several different educational pursuits, including two-year associate degree programs, 职业学校或职业学校, such as cosmetology or culinary arts schools.

Can you transfer 529年计划 to another child?

简短的回答:当然. If the original beneficiary ends up not using the 529 plan funds, you can switch beneficiaries to another family member or relative as defined by the IRS. You can even make yourself the beneficiary if you want to go back to school for an advanced degree or even classes at a local college.

未使用的529基金怎么办?

Your 529 account will never expire, even if your child ends up not using it. You can leave the funds in the account, allowing investments to grow tax-deferred, and use the funds down the road for a grandchild or another qualified family member.

Is a 529 worth it if not used for education?

It's best if the funds in a 529 plan are used for education because of the benefits this type of account provides. 然而, if you end up withdrawing unused 529 funds and don't use them for qualified education expenses, you will likely owe federal and state taxes plus a 10% penalty on the earnings portion of the withdrawal.