Episodes
How 529 Plans Cover Student Health Insurance Premiums
In episode 164 of The College Savings Podcast, Lucas and Luna break down how 529 plans can be used to cover student health insurance premiums. They explain the specific rules from the IRS and the SECURE Act, including what counts as a qualified expense, how to handle premiums paid directly to an insurer versus through a university, and the impact on financial aid. They also walk through a real-world example using a typical health insurance premium, show how to document withdrawals for audit…
529 Plan Rollovers to Roth IRAs Explained
In this episode, Lucas and Luna explore the SECURE 2.0 provision that allows unused 529 plan funds to be rolled over into a Roth IRA for the beneficiary. They break down the key rules—the 15-year holding period, the $35,000 lifetime cap, the annual contribution limit tied to the Roth IRA contribution limit, and the earned income requirement. They also discuss practical implications for families, including how to maximize this opportunity and common pitfalls to avoid. Tune in to learn how this…
Using 529 Plans to Cover Your Child's Wedding
Weddings are expensive, and some families are surprised to learn they can use 529 plan funds to help cover their child's big day. In this episode, Lucas and Luna dig into the tax implications, the rules around gifting, and the trade-offs of spending education savings on a wedding. They break down the numbers with a real example, explain the difference between using 529 funds for a wedding versus other qualified expenses, and discuss how the SECURE Act changed the landscape. If you've ever…
How 529 Plans Cover Graduate School Costs
Lucas and Luna dive into the specifics of using 529 plans for graduate school expenses, from tuition and fees to room and board and even the graduate school entrance exam. They break down the annual gift tax exclusion rules, the impact on financial aid, and how the SECURE Act expanded eligible expenses. With a focus on practical planning, they discuss strategies for maximizing the benefits and avoiding common pitfalls, like the 10 percent penalty on non-qualified withdrawals. Plus, they touch…
How 529 Plans Cover Apprenticeship Programs
In episode 160 of The College Savings Podcast, Lucas and Luna explore a growing but often overlooked use for 529 plans: apprenticeship programs. With the SECURE Act expanding qualified expenses to include registered apprenticeships, families can now use 529 funds for tools, fees, and equipment tied to trades like electrical work, plumbing, and carpentry. The hosts break down what qualifies, what doesn't, and how to document withdrawals to stay IRS-compliant. They also share real-world examples…
529 Plan Rules for ROTC and Military Academy Expenses
In this episode, Lucas and Luna break down how 529 plans can be used for ROTC-related expenses and military academy costs, a topic that's often overlooked. They discuss what qualifies as a qualified education expense for ROTC cadets, including uniforms, books, and equipment, and clarify the rules for military academy attendees. The conversation covers the interaction between 529 withdrawals and military tuition assistance, plus the impact on financial aid. With August 2026 enrollment right…
How 529 Plans Cover Laptop and Tech Purchases
In this episode of The College Savings Podcast, Lucas and Luna explore how 529 plans handle technology purchases for college students. From laptops and tablets to printers and software, they break down what counts as a qualified expense under IRS rules. They discuss the importance of school requirements, the difference between a required device and a nice-to-have gadget, and how to document expenses properly for tax-free withdrawals. Using real-world examples, they explain how a student's…
Why 529 Plans Now Cover Student Loan Repayments
In this episode, Lucas and Luna unpack a major change in 529 plan rules: using funds to pay down student loans, up to $10,000 per beneficiary, and the same amount for siblings. They walk through the practical details—how the tax-free treatment works, how it interacts with the student loan interest deduction, and strategies for parents who want to help without tripping the gift tax or financial aid quirks. They also compare prepaying tuition versus saving in a 529 for future loan payments, and…
529 Plans Covering Student Health Insurance Premiums
In this episode, Lucas and Luna explore a less obvious but highly practical use of 529 plan funds: covering student health insurance premiums. They break down the IRS rules that allow 529 withdrawals for health insurance when the student is enrolled at least half-time, and discuss how this can free up other college funding. They also compare the cost of student health plans versus staying on a parent's plan, using a specific example of a public university's student health insurance fee. Tune in…
How 529 Plans Cover Student Travel Costs
Episode 155 of The College Savings Podcast with Fexingo looks at the often-overlooked question of whether 529 plans can cover travel to and from college. Lucas and Luna walk through the IRS rules on transportation as a qualified education expense, the difference between travel for enrollment and travel during the school year, and how to document trips to stay audit-proof. They dig into a real example: a student flying home for Thanksgiving, a parent driving to a parent weekend, and a one-time…
How 529 Plans Cover Study Abroad Program Fees
In this episode, Lucas and Luna dig into the often-overlooked details of using 529 plans to pay for study abroad programs. They break down what counts as a qualified expense—tuition, room and board, airfare, and even health insurance—and flag the traps that can turn a tax-free withdrawal into a penalty. They walk through a real-world example of a student in Barcelona, explain the 'enrolled at least half-time' rule, and discuss how to handle currency fluctuations and foreign universities that…
How 529 Plans Cover Student Housing During a Gap Semester
In this episode of The College Savings Podcast with Fexingo, hosts Lucas and Luna explore a niche but increasingly relevant question: can you use 529 plan funds to pay for housing during a gap semester or a break in your child's college enrollment? With more students taking a semester off for internships, travel, or personal reasons, parents often wonder if their tax-advantaged savings can still help. Lucas breaks down the IRS rules on qualified higher education expenses, explaining that room…
Using 529 Plans for College Application Fees and Test Prep
In this episode, Lucas and Luna explore a less obvious but valuable use of 529 plan funds: covering college application fees and standardized test prep costs. They break down what counts as a qualified expense, how to document withdrawals to stay within IRS rules, and why timing matters to avoid penalties. The discussion uses a real-world example of a family navigating the college application season, showing how 529 funds can ease the financial stress of applying to multiple schools. They also…
How 529 Plans Cover Summer School and Intersession Courses
Summer classes can keep your child on track for graduation or let them explore a new subject, but are they a qualified 529 expense? Lucas and Luna dig into the IRS rules on summer school, including what counts when classes are at a different school, how costs interact with financial aid, and why the timing of your withdrawal matters. They walk through a concrete example: a student taking a six-credit calculus course at a community college over the summer while enrolled at a four-year…
How 529 Plans Cover Your Child's First Apartment Furnishings
Episode 150 of The College Savings Podcast zeroes in on a 529-approved expense that catches many families off guard: furnishing your student's first apartment. Lucas and Luna walk through the specific IRS rules for what counts as a qualified room-and-board cost, using a concrete example of a $3,200 furniture haul that includes a bed frame, desk, and mini-fridge. They explain why the IRS publishes annual school-specific Cost of Attendance figures that set the ceiling for how much you can…
How 529 Plans Cover Off-Campus Housing Deposits
In this episode of The College Savings Podcast, Lucas and Luna dive deep into using 529 plans for off-campus housing, specifically the often-overlooked cost of security deposits and first month's rent. They break down the IRS rules that allow 529 funds to cover off-campus housing, the nuances of what counts as a qualified expense, and the tricky part: how to document the student's enrollment status for the academic year. They also share a real-world example of a family in Ohio who used their…
529 Plan Withdrawals for Housing Deposits and First Month Rent
In this episode of The College Savings Podcast, Lucas and Luna unpack a surprisingly common question from parents and students: can you use a 529 plan to cover a security deposit and first month's rent for off-campus housing? The answer is yes, but the details matter. They walk through the exact rules around room and board expenses for students enrolled at least half-time, how to handle refundable deposits when the lease ends, and what happens if the lease straddles two different academic…
What Happens to a 529 Plan If Your Child Doesn't Go to College
Nearly a third of 529 plan beneficiaries change their plans. Lucas and Luna walk through your options if your child decides against college: changing the beneficiary to another family member, rolling funds into a Roth IRA, withdrawing penalty-free for scholarships, or taking a non-qualified withdrawal. They cover the IRS family rules, the 35k Roth limit, and what happens when a beneficiary chooses trade school over a four-year degree. Plus, a real-world example of how one family handled a 50k…
Using 529 Plans for Community College Tuition and Expenses
In this episode, Lucas and Luna discuss how 529 plans can be used for community college expenses. They break down the eligibility requirements, including the half-time enrollment rule, and compare costs between community college and four-year universities. Real examples show how families can save thousands by using 529 funds for associate degrees or transfer programs. The conversation also covers tips for coordinating 529 withdrawals with scholarships and tax credits, ensuring you maximize…
How 529 Plans Cover College Room and Board Costs
In this episode of The College Savings Podcast, Lucas and Luna break down the rules for using 529 plan funds to pay for college room and board. They explain the half-time enrollment requirement, the 'cost of attendance' limit, and how off-campus housing qualifies. With average room and board now exceeding $14,000 per year at public universities, this is a critical topic for families. The hosts also share tips on documenting expenses and coordinating with financial aid. Plus, a quick note on…
Using 529 Plans for Study Abroad Programs
Many families don't realize that 529 plans can cover study abroad expenses at eligible foreign institutions. Lucas and Luna break down the requirements: the school must participate in the federal student aid program (Title IV), and qualified expenses include tuition, fees, and room and board if the student is enrolled at least half-time. They discuss why airfare is generally not covered, how a through-provider program works, and a caution about Roth IRA rollovers if the funds aren't used. This…
Scholarship Impact on 529 Plan Withdrawals
What happens to your 529 plan savings when your child earns a scholarship? In this episode, Lucas and Luna break down the rules: how to withdraw penalty-free up to the scholarship amount, the tax implications on earnings, and strategies for leftover funds. Learn the difference between qualified and non-qualified withdrawals, how timing matters, and why the scholarship exception isn't a free pass. Plus, we cover partial scholarships, beneficiary changes, and the interplay with other financial…
How 529 Plans Impact Financial Aid Eligibility
In this episode, Lucas and Luna break down the surprisingly favorable treatment of 529 plans on the FAFSA. Under the current formula, a parent-owned 529 is assessed at a maximum of 5.64% — meaning only $564 of every $10,000 counts against aid eligibility. They compare this to custodial accounts or student-owned assets, which are assessed at 20%, and explain how ownership structure (parent, grandparent, or student) can make or break a financial aid package. The hosts also touch on the impact of…
How 529 Plans Cover Special Education Services and Assistive Technology
In this episode, Lucas and Luna explore how 529 plans can help families fund special education services and assistive technology for students with disabilities. With about 21% of undergraduates reporting a disability, many families miss that these expenses can be qualified if tied to enrollment at an eligible institution. Lucas breaks down specific examples: sign language interpreters, note-taking software, Braille materials, and even housing accommodations. They also compare 529 plans with…
Using 529 Plans for Graduate School Entrance Exam Costs
Did you know your 529 plan can cover GRE, GMAT, MCAT, and LSAT prep courses and exam fees? In this episode, Lucas and Luna break down the specific IRS rules that allow these expenses if your child is enrolled at least half-time. They discuss the difference between prep materials from an eligible institution versus third-party providers, the $10,000 lifetime limit for loan repayment that can also apply to exam costs in some cases, and a real example of a student saving over $1,500 on exam prep…
Using 529 Plans for K-12 Private School Tuition
Episode 139 of The College Savings Podcast: Lucas and Luna explore how the Tax Cuts and Jobs Act expanded 529 plans to cover K-12 tuition up to $10,000 per year per beneficiary. They break down the federal rules, state conformity traps, and the strategic trade-offs between using a 529 for private school now versus saving for college. A must-listen for parents considering private elementary or secondary school. #529Plans #K12Tuition #PrivateSchool #EducationSavings #TaxCutsAndJobsAct…
529 to Roth IRA Rollover The Fine Print You Might Miss
The SECURE Act 2.0 lets you roll over up to $35,000 from a 529 plan to a Roth IRA, but the rules are tight. Lucas and Luna walk through the 15-year holding period, the annual contribution limit trap, and the earned-income requirement — using a real scenario where a graduate has $30,000 leftover after a four-year degree. They explain why timing matters, how the clock resets if you change beneficiaries, and what happens if you exceed the Roth IRA income phase-out. This episode is essential for…
How to Roll Over 529 Plan Funds to a Roth IRA
The SECURE 2.0 Act opened up a powerful new option for families with leftover 529 savings: roll up to $35,000 into a Roth IRA for the beneficiary. In this episode, Lucas and Luna explain the rules—the 15-year account age requirement, the annual Roth contribution limits, and how the clock resets. They walk through a concrete example: a family with $40,000 left after a four-year degree, and how to move $16,000 over three years without triggering taxes or penalties. They also discuss why this…
529 Plans Cover College Student Health Insurance Costs
Many families don't realize that 529 plans can pay for college student health insurance – but only if it's a school-charged premium. In this episode, Lucas and Luna break down the IRS rules, using a real example: a student at Ohio State University whose mandatory health insurance fee of $2,568 per year is covered by a 529 withdrawal. They explain why private insurance doesn't qualify, how to document the expense, and what to do if the premium is billed separately from tuition. Plus, they share…
Using 529 Plans for Student Loan Repayment
Episode 135 of The College Savings Podcast dives into a lesser-known but powerful provision from the SECURE 2.0 Act: using 529 plan funds to pay down your child's student loans. Lucas and Luna break down the $10,000 lifetime limit per beneficiary, what types of loans qualify, tax implications, and how this strategy fits into a broader college savings plan. They also discuss coordination with student loan interest deductions and caution against overfunding. Real example: if your child has…
How 529 Plans Cover Your Childs Off-Campus Parking and Transportation
In this episode of The College Savings Podcast, Lucas and Luna explore a commonly overlooked 529-qualified expense: off-campus parking permits, public transit passes, and even gas money for commuting students. They break down the IRS rules around room and board cost allowances, using the actual example of a University of Michigan student saving $1,200 per semester on a commuter parking pass and bus pass. Plus, a listener-funded moment on how Fexingo keeps the show ad-free. #529Plans…
How 529 Plans Cover Your Childs Laptop and Technology Purchases
In this episode of The College Savings Podcast, Lucas and Luna explore a surprisingly common question among parents: can a 529 plan pay for your child's laptop, tablet, or other technology needed for college? The answer is yes, but with important caveats. The hosts break down the IRS rules around 'qualified expenses' and how technology purchases like a $1,200 laptop or a $300 graphing calculator qualify as long as they are required for enrollment or coursework. They also discuss what happens if…
529 Plans Cover Your Childs College Application Fees
Lucas and Luna explore a lesser-known 529 plan expense: college application fees. With the average student applying to 8-10 schools, application fees can total $500-$1,000. Lucas explains how the Tax Cuts and Jobs Act expanded 529 qualified expenses to include fees for admission applications, testing (SAT/ACT), and transcript submission. Luna shares her own experience helping a nephew navigate the process. They discuss how families can use 529 funds strategically—paying fees from the account…
How 529 Plans Cover Your Childs Trade School Tools and Equipment
Episode 131 of The College Savings Podcast: Lucas and Luna tackle a less-discussed but critical use of 529 plans: paying for trade school tools, equipment, and required supplies. With skilled trades on the rise and apprenticeships booming, many families overlook that 529 funds can cover everything from welding helmets and electrical tool kits to plumbing textbooks and safety gear. Lucas breaks down the IRS rules — the equipment must be required for enrollment or attendance, not just recommended…
How 529 Plans Cover Your Childs Internship Expenses
In this episode, Lucas and Luna explore how 529 plans can cover internship-related expenses, a rarely-discussed qualified use. They break down the IRS rule on minor expenses while enrolled, using the example of a summer internship at a marketing firm in Chicago. Lucas explains that rent, travel, and even a laptop for the internship can be paid from a 529 plan if the student remains enrolled at least half-time. Luna shares data from a 2025 NACE survey showing 62% of internships are unpaid…
How 529 Plans Cover Apprenticeship Program Costs
In this episode of The College Savings Podcast, Lucas and Luna dig into a 529 plan benefit many families overlook: using funds for registered apprenticeship programs. With college costs rising and trade careers gaining prestige, more students are pursuing apprenticeships in fields like electrical work, plumbing, and IT. Lucas explains how the 2019 SECURE Act expanded 529 qualified expenses to include fees, tools, and equipment for registered apprenticeships, and walks through a concrete example…
How 529 Plans Cover Your Childs Off-Campus Internet and Phone Bills
In this episode of The College Savings Podcast, Lucas and Luna explore the recent IRS clarification that allows 529 plan funds to pay for off-campus internet service and cell phone bills as qualified education expenses. They break down the exact IRS rules from 2026, explain how the Tax Cuts and Jobs Act expanded the definition of 'qualified higher education expenses' to include technology and connectivity costs, and provide a concrete example: the Smith family saving $1,200 per year in tax-free…
How 529 Plans Can Cover Your Childs Off-Campus Internet and Phone Bills
In this episode of The College Savings Podcast, Lucas and Luna dive into the often-overlooked expense of off-campus internet and phone bills and how 529 plans can cover them. They break down the IRS rules on qualified room and board expenses, explaining that internet service and a single phone line for a student living off-campus can qualify as part of a 'reasonable' room and board allowance. They use a concrete example: a student at the University of Texas at Austin with a $16,500 cost of…
529 Plans Cover Off-Campus Internet and Phone Bills
Many families assume a 529 plan can only pay for tuition, room, and board. But the IRS also lets you use tax-advantaged 529 funds for internet service and phone bills when the student lives off campus. In this episode, Lucas and Luna break down the 'course-related' rule, explain how to document the expense, and walk through a real example: if your child pays $80 a month for Wi-Fi and $60 for a cell plan, those costs can be covered by the 529 up to the cost of attendance. They clarify what…
How 529 Plans Cover Your Childs Vocational School Training
In Episode 125 of The College Savings Podcast, Lucas and Luna explore how 529 plans can now cover qualified expenses at vocational and trade schools. They break down the specific requirements: the school must be eligible for federal student aid, and covered costs include tuition, fees, books, supplies, and even room and board for half-time enrollment. The hosts use a concrete example of a student pursuing an HVAC certification at a local technical college, walking through the estimated costs…
How 529 Plans Cover Your Childs Summer Camp Costs
Episode 124 of The College Savings Podcast explores an often-overlooked 529 plan qualified expense: summer camps. Lucas and Luna break down the IRS rules that allow 529 funds to pay for day camps and sleepaway camps, as long as the camp is structured as an 'educational program' rather than purely recreational. They walk through real examples, including a STEM camp and a wilderness leadership program, and explain the documentation you need to keep for tax purposes. The episode also covers what…
How 529 Plans Cover Your Childs Study Abroad Semester
Episode 123 of The College Savings Podcast with Fexingo dives into a specific, underutilized 529 plan benefit: paying for a semester abroad. Lucas and Luna walk through what qualifies as eligible expenses — tuition, room and board, airfare, and even a local cell phone plan — using the University of Barcelona program as a concrete example. They highlight a critical gotcha: while on-campus housing at a US school is an automatic qualified expense, off-campus rental abroad may require the student…
How 529 Plans Cover Your Childs Off-Campus Meal Plan Costs
In this episode of The College Savings Podcast, Lucas and Luna explore a frequently overlooked expense: off-campus meal plans. While 529 plans have long covered on-campus room and board, the rules for off-campus food costs are less clear. Using the example of a student at Arizona State University who lives off-campus but buys a university meal plan, we break down when those costs qualify as a qualified education expense. We also discuss the IRS requirement that the student must be enrolled at…
How 529 Plans Can Cover Your Childs Fraternity or Sorority Housing
You might not think of Greek life housing as a qualified education expense, but the IRS actually allows 529 plan funds to be used for on-campus fraternity or sorority housing costs. In this episode, Lucas and Luna break down the specific rule that makes this work: the room and board requirement. They walk through a real example using the University of Alabama's Greek housing system, where annual costs can exceed $12,000, and explain how to document that the chapter house qualifies under IRS…
529 Plans and Scholarships How Extra Funds Get Taxed
Lucas and Luna dive into a common 529 plan blind spot: what happens when your child wins a scholarship that covers the same expenses you've been saving for. They walk through the scholarship exception to the 10 percent penalty on non-qualified withdrawals, how to calculate the penalty-free amount, and the tricky timing rule that trips up families who take the scholarship before filing the 529 disbursement. They also compare the scholarship handling rules for state vs. private scholarships and…
How 529 Plans Can Cover Your Childs Transcript and Testing Fees
In episode 119 of The College Savings Podcast, Lucas and Luna break down a lesser-known but valuable 529 plan expense: transcript requests, AP exam fees, SAT/ACT registration costs, and other credentialing expenses. They explain the IRS safe-harbor rules, how to document these expenses as qualified higher education costs, and why schools' billing systems often don't make this obvious. With college applications costing hundreds per student, this episode shows families how to put their 529…
529 Plans and K-12 Private School Tuition Expenses
In this episode of The College Savings Podcast, Lucas and Luna dive into a powerful but often overlooked feature of 529 plans: using them to pay for K-12 private school tuition. Since the Tax Cuts and Jobs Act of 2017 expanded 529 plans to cover up to $10,000 per year per child for elementary and secondary education, families have a tax-advantaged way to fund private school. Lucas breaks down the rules, including which expenses qualify, how the $10,000 cap works per beneficiary, and state tax…
How 529 Plans Cover Off-Campus Apartment Rental Costs
In this episode of The College Savings Podcast, hosts Lucas and Luna tackle a question many families face: can a 529 plan pay for your child's off-campus apartment? Using the real-world example of a University of Texas at Austin student paying $1,200 per month for a one-bedroom, they explain the 'cost of attendance' rule, how room and board limits work, and the penalty trap if you withdraw more than the school's official budget. Lucas breaks down the difference between on-campus housing and…
How 529 Plans Can Cover Your Childs Military Service Academy Costs
Lucas and Luna unpack a little-known but powerful use of 529 plans: paying for expenses at U.S. military service academies like West Point, Annapolis, and the Air Force Academy. They explain what qualified expenses tuition, room, board, fees are covered, how ROTC scholarship recipients can still benefit from a 529, and what parents should know about the Academy's tuition-free structure. The episode drills into the specific rules around using 529 funds for laptops, travel, and uniforms at these…
529 Plans and the Roth IRA Rollover Strategy Explained
In this episode of The College Savings Podcast, Lucas and Luna explore a powerful but often overlooked 529 plan feature: the ability to roll over unused funds into a Roth IRA for your child. Effective in 2024 under Secure 2.0, this rule allows up to $35,000 in lifetime rollovers, subject to annual Roth contribution limits and a 15-year account age requirement. Lucas breaks down the mechanics, including why the beneficiary must have earned income and how this affects grandparents who overfund…
Showing the latest 50 episodes. The full archive of 164 is on Apple Podcasts, Spotify and every major podcast app — or via the RSS feed above.