Using a 529 plan for K-12 costs
A 529 plan is usually thought of as college savings, but federal law also allows some K-12 uses.
Annual limit
Starting in 2026, up to $20,000 per year per student can be withdrawn tax-free for K-12 expenses, up from $10,000.
What counts
Federal law now covers K-12 tuition, curriculum and books, online learning materials, certain tutoring outside the home by a qualified unrelated tutor, standardized and AP test fees, dual enrollment fees, and educational therapies for students with disabilities.
State rules differ
Some states do not treat K-12 withdrawals as qualified for state tax purposes, and may tax them or take back an earlier deduction. Check your state's 529 plan before withdrawing.
Keep receipts
Match each withdrawal to receipts in the same year in case you need to show it was qualified.