529 Plans Now Cover Vocational Training and Bar Exam Prep Under New Legislation

Traditionally associated with saving for college, 529 accounts have recently undergone significant updates to broaden their purpose.

Experts now describe these accounts as education savings plans that extend beyond just college funding.

A newly passed budget and policy law permits these accounts to cover a wider array of post-secondary credentials, including certifications in fields such as automotive repair and food safety, as well as related educational expenses.

This change acknowledges that many students pursue career paths that do not necessarily involve traditional college education.

It also opens doors for working adults seeking to retrain or change careers, offering broader opportunities for skill development.

Additionally, the legislation has expanded the types of elementary and high school expenses that can be paid using 529 plans.

Financial experts emphasize that these reforms represent a major step forward, helping families address a more diverse range of educational needs.