FAFSA and 529 Contributions -added back?

I’m confused. A 529 account is a college savings account, not a retirement account.

The bonus will count as income for the year received, and as a parent asset if it’s sitting in a savings account, or 529, on the day FAFSA is filed.

https://ifap.ed.gov/efcformulaguide/attachments/2021EFCFormulaGuide.pdf