529 expense question

[Psychodisney]

My DD18 will be starting college this fall, majoring in Nursing. It is required that she get health care provider CPR and get a background check prior to starting school. I'm trying to figure out if theses expenses are eligible to be covered with money from her 520 savings. Does anyone have any experience with these costs?

 

[HopperFan]

My DD18 will be starting college this fall, majoring in Nursing. It is required that she get health care provider CPR and get a background check prior to starting school. I'm trying to figure out if theses expenses are eligible to be covered with money from her 520 savings. Does anyone have any experience with these costs?

I imagine every program is different. You need to contact her program to find out.

 

[amcnj]

Never dealt with those exact items. They are a requirement for admission to the program so I would think a good argument could be made for their inclusion.

 

[runwad]

Good question! My DD is a sophomore nursing major is just having to do all the above this year. I never thought of taking the $ out of the 529. I do know supplies we get from the school, scrubs, shoes, lab coat, I can take out of the 529. Any other expenses I have to get on my own, the CPR certification and medical stuff, i'm not sure about that $$ being withdrawn. I'll be watching this thread to see if anyone with experience comments. I couldn't really decide from the IRS Publication 970 on qualified withdrawals?

 

[HopperFan]

My DD18 will be starting college this fall, majoring in Nursing. It is required that she get health care provider CPR and get a background check prior to starting school.

'm trying to figure out if theses expenses are eligible to be covered with money from her 520 savings. Does anyone have any experience with these costs?

Never dealt with those exact items. They are a requirement for admission to the program so I would think a good argument could be made for their inclusion.

It sounds like OP has no idea if she is required to get these before even starting school. That is why I said she needs to find out from the school if required before even starting.

As far as the tax implication, that would be more an acct or someone with experience question.

 

[clh2]

If it were my daughter starting off with needing Professional CPR, I would consider that a 529 type of expense. In my research, continuing education at a variety of types of schools qualify as expenses, and in my corner of the world, that type of class would be available at a vocational/tech school, which is why I would use that as a 529 expense.

In my mom-experience, I never needed to know if a background check would qualify. Are you paying that fee to the school? Without knowing definitively, that would be the tipping point for me to use the 529 funds or not.

Good luck to your daughter!

 

[Psychodisney]

Thanks for all the input. We spoke with our 529 plan people, they said if the costs are required for the university for every nursing student (which they are...by July 1), then they are eligible costs. Neither fee will be paid to the university. The CPR is done through the someplace local and the background check is part of some compliance fee she had to pay. I think we can order scrubs and stethoscope through the university.

For what it's worth, I hate how the IRS deals with 529s. From our experience with my 2 college graduates, the IRS comes back the year after the expensses and asks if you have proof that they are college expenses. I save every receipt (groceries, books, supplies, rent checks) just in case they ever actually want to see the proof. Haven't had to show anything yet.

 

[amcnj]

Oh good. That is the way it sounded like this should go. But better to be sure. I never had anyone question any withdrawals, but also saved all the receipts just in case. And in the long run there were always more expenses than funds anyway, so all monies would be legitimately expended on other items should anything have been disallowed!

 

[princess barbara]

My daughter needed a background check prior to her sophomore year in college. The cost was rolled into her tuition which was partially paid via 529. Hope this helps.