I think this has been addressed in other threads, but my recollecon is that you can use College Funds to pay for books etc. that aren't covered at USNA. (They are paid for through the Midshipman "funny money" account, but actually an expense. This may even apply to things like Computer and other expenses). Beyond that, you can hold the account for grad school, and/or transfer at least some amount to a siblings College Savings account.