I would like to know if the same year withdrawal thing is true as well, as I always thought that way, but can’t find anything now to back it up. My son will probably be Pell eligible at least the first two years and I’d like to avoid pulling the money out of the 529 using the scholarship exclusion for the penalty until he’s completely done. I doubt there will be anything left, but it would be nice to have the option of cashing in the entire 4 years worth of grants scholarships at the end instead of as we go.