Student Empowerment Act

This bill lets families use 529 education savings plans for more K–12 costs, not just college. Right now, 529 money can already cover up to $10,000 a year for K–12 tuition. The bill adds more items for elementary, middle, and high school— including homeschooling — so those withdrawals stay tax-free if used for these costs.

Covered expenses would include curriculum and books, online learning materials, certain tutoring classes outside the home, testing fees (like AP or college entrance exams), dual-enrollment course fees, and licensed educational therapies for students with disabilities. It also confirms these uses apply for homeschools under state law. These changes would start for distributions made after the law is enacted.

• Who is affected: Families with 529 plans; students in public, private, religious, or homeschool settings.
• What changes: More K–12 expenses qualify for tax-free 529 withdrawals, including curriculum, tutoring, tests, dual enrollment, and special-education therapies.
• When: Applies to 529 distributions made after the law takes effect.

Introduced February 4, 2025 by Kevin Hern · Last progress February 4, 2025