529 Plan reimbursement for Equipment

Mama_V

Member
Joined
Feb 3, 2017
Messages
16
I know I saw a thread about using 539 monies to offset qualified cadet expenses from cadet account. Can someone lead me back there? Can’t find it anymore
 

Wishful

"Land of the free, because of the brave..."
10-Year Member
Joined
Dec 12, 2012
Messages
2,184

MidwestDad

Member
Joined
Feb 15, 2017
Messages
616
Military academies are NOT qualified educational institutions per 529 regs.
However the 10% penalty is waived for SA attendees.
Withdraw the money and use it if/as needed including the $2K deposit, pay taxes on earnings only at cadet tax rate.
 

UHBlackhawk

5-Year Member
Joined
Sep 22, 2015
Messages
2,205
Military academies are NOT qualified educational institutions per 529 regs.
However the 10% penalty is waived for SA attendees.
Withdraw the money and use it if/as needed including the $2K deposit, pay taxes on earnings only at cadet tax rate.
Only the earnings are taxed. Also, the Cadet won't have access to that money until they get their top off.
 
Top