Bill to allow use of 529 funds for advisor credential courses gains more support
Legislation that would allow the use of funds from 529 college savings plans to finance education and training for professional designations — including financial advisor credentials — is attracting more support from lawmakers.
Just before Congress departed Washington last week for its summer recess — or district/state work period, as it’s also called — eight House membersjoined the bill as co-sponsors. Another House member signed onto the bill — the Freedom to Invest in Tomorrow’s Workforce Act — this week.
The new co-sponsors of the measure included eight Republicans and one Democrat, bringing the total number of cosponsors to 53, most of whom have joined the bill since the beginning of the summer. The legislation was introduced in March by Rep. Robert J. Wittman, R-Va., with Rep. Abigail Spanberger, D-Va., signing on as the original co-sponsor.
In March, Sen. Amy Klobuchar, D-Minn., introduced that chamber’s version of the bill, which has eight bipartisan cosponsors.
The burst of momentum in the House comes as the Financial Planning Association this week joined a coalition of more than 500 trade associations to support the bill.
“It’s bicameral and bipartisan, and that’s a nice thing to be part of,” said FPA CEO Patrick Mahoney. “We’ll see where it goes.”
The bill would expand the use of 529s to include covering the fees and expenses associated with acquiring or maintaining postsecondary credentials, according to a bill summary. For instance, that means money in a plan could be allocated to course work related to preparing to take the examination to become a certified financial planner.
As part of its campaign to build support for the bill, the FPA is encouraging its members to write letters to lawmakers. Over the
Read more on investmentnews.com
