529 Receipts?

[BryanMD]

Is there a time limit on reimbursement from your 529 for qualified education withdrawals? Can you save private K-12 tuition receipts like you do medical receipts for an HSA? If my kids make it through college with 529 money to spare can I use old tuition receipts to withdraw the rest penalty free?

[Larry Ragman]

This would be clever, but I don’t think so. In my experience the IRS is careful about matching receipts to 529 disbursements.

[spiritrider]

As Larry said, a 529 account is not like an HSA account. The IRS requires you to reconcile 529 distributions with with qualified education expenses on a yearly basis.

[BryanMD]

I figured this was the case since I’d never seen anyone mention it. I wonder how long the IRS will keep allowing people to use HSA in this fashion.

[Larry Ragman]

Hard to say re the HSA. One benefit of having both houses of Congress closely contested is a bit of gridlock. No major changes coming soon.