S-3228 : Still Just a Bill

529 Expansion and Modernization Act of 2018

This bill allows tax-exempt distributions from qualified tuition programs (known as 529 plans) to be used for:

  • apprenticeship programs,
  • early education expenses for children under the age of 5,
  • career and technical education programs, and
  • industry intermediary education programs.

The bill also allows employers to make contributions to an employee's 529 plan as a fringe benefit that is excluded from the gross income of the employee. The contributions per employee may not exceed $500 per year (adjusted for inflation after 2019) and must be made in connection with a payroll deduction contribution program.

Action Timeline

Action DateTypeTextSource
2018-07-17IntroReferralRead twice and referred to the Committee on Finance.Senate
2018-07-17IntroReferralIntroduced in SenateLibrary of Congress

Sponsor :

Sen. Gardner, Cory [R-CO]
See Cosponsors

Policy Area :

Taxation
See Subjects
  • Bank accounts, deposits, capital
  • Employee benefits and pensions
  • Employment and training programs
  • Income tax deferral
  • Income tax exclusion
  • Inflation and prices
  • Preschool education
  • Student aid and college costs
  • Vocational and technical education
  • Wages and earnings

Related Bills

See Related Bills