529 guidelines for room & board withdrawals?

dadinator
Thu, 19 May 2011 10:04:44 +0000

You may charge the actual amount of room and board incurred to the 529 Plan, as long as you do not charge more than what the school lists as the room and board amount in the cost of attendance (for Federal aid purposes).

"Expenses for room and board must be incurred by students who are enrolled at least half-time. The expense for room and board qualifies only to the extent that it is not more than the greater of the following two amounts.

The allowance for room and board, as determined by the eligible educational institution, that was included in the cost of attendance (for federal financial aid purposes) for a particular academic period and living arrangement of the student.

The actual amount charged if the student is residing in housing owned or operated by the eligible educational institution."

[Publication 970 (2010), Tax Benefits for Education](Publication 970 (2022), Tax Benefits for Education | Internal Revenue Service)

I hope this helps!