FAFSA eligibility won’t affected by non-parental 529 savings [Video]

NORFORK, Ark. — The 529 Savings Plan got a couple of big upgrades in 2024.

Two major changes are expected to have a positive impact on a student’s financial eligibility.

If there are leftover college savings in your 529 account — Congress says as much as $35,000 can now roll over into your tax-free Roth retirement savings. That means any money not used for education funding can now go towards saving for your retirement.

It eliminates the fear for many parents that the money could forever go unused or incur taxes. 

In 1996, lawmakers created the savings plan that could be opened for as little as $25. The money is invested, giving it more potential to grow over time. The accounts also have special tax breaks.

What are the other changes to the 529 Savings plan?

The second recent change is called “the …