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New 529 Plan Rules for Transportation and Parking Expenses

This bill allows funds from 529 savings plans to be used for transportation and parking costs related to attending eligible educational institutions or apprenticeship programs. This means students and their families can more easily cover daily commuting expenses for education, potentially easing the financial burden of schooling.
Key points
529 plan funds can now be used for transportation and parking fees to educational institutions.
The new rules also cover transportation and parking costs for individuals in apprenticeship programs.
These changes apply to distributions made after the bill's enactment date.
article Official text account_balance Process page
Introduced
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Additional Information
Print number: 119_HR_3574
Sponsor: Rep. McClellan, Jennifer L. [D-VA-4]
Process start date: 2025-05-23
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Summarized by: gemini-2.5-flash-preview-05-20
Source data: api.congress.gov
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OFFICIAL LEGAL TITLE

To amend the Internal Revenue Code of 1986 to permit qualified distributions from section 529 plans for certain transportation and parking expenses.

FREQUENTLY ASKED QUESTIONS

What is the official ID of this bill?

The official print number for this legislation is 119_HR_3574.

Which chamber initiated this legislation?

This legislation was initiated in the House of Representatives.

When did the legislative process begin?

The process officially started on 2025-05-23.

What are the main provisions?

Key points include:

  • 529 plan funds can now be used for transportation and parking fees to educational institutions.
  • The new rules also cover transportation and parking costs for individuals in apprenticeship programs.
  • These changes apply to distributions made after the bill's enactment date.
What is the specific legal status?

The current status is Introduced.

Where can I read the full text of this legislation?

The full official text is available at: View full text

Who is the primary sponsor?

The primary sponsor is Rep. McClellan, Jennifer L. [D-VA-4].

What is the latest detailed status?

The latest detailed status is: Referred to the House Committee on Ways and Means.

Is this summary verified?

Yes. This content was analyzed by AI and verified by the Lustra Judge System on 2025-12-22.

CATEGORIES

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