529 what can it be used for

The plan can be used to cover expenses at both the undergraduate and graduate level. Eligible expenses include:. Dorms and campus-owned apartments usually meet requirements. Though most people use the plan to pay for degree programs, the account can be used to fund a variety of educational programs including the following:.

The plan cannot be used for hardships unrelated to eligible educational expenses, even if it directly relates to the beneficiary. Personal expenses, including transportation costs, are not qualified expenses for the plan. Examples of expenses that are not qualified include:.

The remaining amount is what you can use your plan to pay. If there is a miscalculation and you use more than your QHEE, you may owe a penalty on the amount. Try to purchase qualifying expenses separate from ineligible expenses. Records you should keep include tuition and bills from the educational institution, and receipts for school supplies, books, and a laptop or computer.

It may also be helpful to retain records of estimated expenses as detailed by the school in their admission packet to support your claims. A covered educational institution's name or logo on the Edmit platform is not an endorsement by the covered educational institution of SoFi's student loan products.

Edmit may receive compensation from SoFi on a per-funded loan basis. SoFi does not guarantee the accuracy of information provided by Edmit, its affiliates or subsidiaries. Enrollment in Edmit does not guarantee eligibility for a SoFi loan product. Terms and conditions apply, and are subject to change.

Why Edmit? How It Works. About Us. The team behind making paying for college achievable for everyone. Our Data. Learning Center Guides. Before High School. Make your plan on how best to save. Early High School. Knowledge on college pricing and financial aid.

Grandparents as well as other family and friends can make gifts to your account for maximum growth potential. ScholarShare College Savings Plan provides a variety of professionally managed investment portfolios to choose from including Enrollment Year Investment Portfolios that automatically shift from more aggressive to more conservative investments as your child approaches their expected year of enrollment in school.

Alternatively you can tailor your portfolio with Multi-Fund, Single Fund and a guaranteed option to match your risk tolerance, timeline, and investment preferences. For more information about the ScholarShare College Savings Plan, call or click here for a Plan Description which includes investment objectives, risks, charges, expenses, and other important information.

Read and consider it carefully before investing. You should also consult your legal or tax professional for tax advice based on your own circumstances. Investments in the plan are neither insured nor guaranteed and there is the risk of investment loss. Non-qualified withdrawals may also be subject to an additional 2. TFI , program manager.

The Plan Web site contains links to other Web sites. Neither the Plan nor TFI and its affiliates are responsible for the content of those other Web sites. The accuracy of information on those sites cannot be confirmed.

Our cybersecurity response program is designed to help keep your financial information safe and is intended to comply with applicable federal and state laws. Online security is a shared responsibility between you, the account owner, and us, the service provider.

Safeguarding your assets, your personal information, and privacy is one of our fundamental priorities. We utilize a variety of controls to detect and prevent unauthorized access to our network and sensitive information. We are committed to keeping your financial information secure. Please know that we'll never call or email you to ask you for your login credentials. If you receive a suspicious message, don't click on any of the links or respond with personal information.

Please report suspicious activity by calling your plan's customer service at While we strive to keep your information and transactions safe, there are actions you can take to contribute to your own security. The following are some best practices to follow. When buying online, look for online merchants who are members of a seal-of-approval program that sets voluntary guidelines for privacy-related practices, such as TRUSTe, Verisign, or BBBonline.

Identity theft involves the impersonation of an individual through the fraudulent use of his or her personal and account information - e. Avoid being a victim of a social engineer or scam artist by being an educated and aware online consumer. Learn more by visiting OnGuard Online , a service of the U. Federal Trade Commission and other federal agencies.

OnGuard Online provides information about avoiding scams, understanding mobile apps and Wi-Fi networks, securing your home computer, and protecting family members. If you are a victim of an Internet crime, report it to IC3 , a service of the U.

You should also report attempted identity theft to the local authorities as well as to the Federal Trade Commission's Complaint Assistant Application.

While there is no way to completely eliminate the risks of fraud or identity theft, there are things that you can do to help protect yourself and minimize the risk. We use the following methods to help keep your online transactions and personal information safe and secure. Skip to the main content Toggle navigation. Open an account. Need Help? Please upgrade your computer to a supported version of Windows to continue to access your accounts.

Additional information on Windows XP can be found here. This quick list will give you the key benefits at a glance. Email This Page? Learn More. Any investments, including those in accounts, may affect the student's eligibility to get financial aid based on need. You should check with the schools you are considering regarding this issue. Learn how to get your plan started with this quick and helpful video. Determine your Risk Tolerance. All social media platforms are managed by the State of California.

Safeguarding your own information: Account owner security checklist While we strive to keep your information and transactions safe, there are actions you can take to contribute to your own security. Review your credit reports frequently at least once a year. Verify the information listed about you is up to date and accurate and that it includes only those accounts and activities you've authorized. Work with the credit reporting agencies to have any inaccurate information removed.

Store your Social Security card, other identification cards, checks and accounts statements in a safe and secure location. Do not carry your Social Security card, passport or birth certificate with you unless absolutely needed. Do not share your personal or financial information over the phone or in person unless the information is absolutely necessary and you can confirm that the individual and company are legitimate. Frequently monitor your financial accounts and report any suspected fraudulent transaction immediately.

Retrieve and review your mail promptly. Shred financial documents no longer needed, pre-approved credit offers, receipts, and other documents that may contain financial and personal information. Protect your computers, cell phone and other mobile devices Install and set your anti-virus and anti-malware software to update automatically. Activate all operating system security features on your internet capable devices.

Make sure your personal computer and home network are properly protected from malware by setting up your firewall. Check to see that the firewall has been properly installed - or enabled if it came bundled with your operating system.

Make sure to keep your web browser software up-to-date by installing the most recent version. Keep the operating system for your computer or mobile device up-to-date.

Password protect and lock your computers, cell phone, or other mobile devices when not in use. Only download applications from reputable sources. Be suspicious when installing applications that require you to provide information that has nothing to do with the application's purpose. If you believe your mobile device is infected with malware, contact your service provider. Then, be sure to delete the suspicious emails from your mailbox. Do not click on links or attachments if an email seems suspicious, especially if they tell you the problem is urgent.

This is known as scareware and intended to make you react without thinking. Do not give out personal information. Attendance does not necessarily need to be physical. You can also use a plan to pay for online college courses. This includes public, private, and parochial schools. Tuition costs at many trade schools are also considered qualified plan expenses, meaning you can withdraw the money tax-free from a plan to pay those costs.

If books and supplies are required to participate in a class, the full cost of those books and supplies are considered a qualified expense. This may include course textbooks, lab materials, safety equipment, or anything else that is absolutely mandatory for your coursework.

A college savings plan can be used to pay for some qualified room and board expenses like rent or other housing costs. First, you can use a plan to pay for off-campus and non university-managed accommodation as long as the beneficiary is enrolled in an eligible college program on at least a half-time basis. That student must also be studying towards a degree, certificate, or another recognized credential. Any amount above the allowance is considered a non-qualified plan expense.

Studying abroad? Rent incurred during the summer months is also considered qualified when the student is enrolled at least half-time. While a college savings plan can be used to pay for room and board in some instances, Prepaid tuition plans like the Private College Plan generally cannot be used to pay for room and board.

That means if your family is using a prepaid tuition plan, you might want to think about setting up a college savings plan so that you can save for extra expenses like room and board. Special needs equipment refers to services that are necessary for a student with disabilities or other special needs to attend college or university.

If you genuinely require special needs equipment to enroll and participate in a course at an eligible institution, these costs can be met using your plan. Again, a plan can only be used to help pay for special needs services if the costs were incurred in connection with enrollment or attendance at a qualified college or university. Families with special needs may also consider using a ABLE account to save for college and other education expenses.

Transportation and travel costs , like gas and transit passes, are generally not considered qualified plan expenses.

That means you cannot use a plan to buy or rent a car, maintain a vehicle or pay for any other travel cost. If you do use a distribution to pay for this type of expense, those distributions are considered non-qualified.

An exception to this rule may be if your college charges a travel or transportation cost as part of a comprehensive tuition fee, or if that fee is identified as being required for enrollment or attendance.

Your college may likely require students to have health insurance. Again, there is an exception to this rule. If health insurance is charged by your institution as part of a comprehensive tuition fee or the fee is required to your enrollment or attendance , the cost of your health insurance may count as a qualified plan expense.

Although these costs are required for admission, they are not required for enrollment or attendance. If plan funds are used to pay for any pre-enrollment fees, it will be considered a non-qualified distribution.