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Freedom to Invest in Tomorrow’s Workforce Act

USA119th CongressS-756| Senate 
| Updated: 2/26/2025
Amy Klobuchar

Amy Klobuchar

Democratic Senator

Minnesota

Cosponsors (16)
Tommy Tuberville (Republican)Tammy Duckworth (Democratic)Roger Marshall (Republican)Dan Sullivan (Republican)Katie Boyd Britt (Republican)Thomas Tillis (Republican)Cindy Hyde-Smith (Republican)Jerry Moran (Republican)Eric Schmitt (Republican)Angus S. King (Independent)John W. Hickenlooper (Democratic)Jacky Rosen (Democratic)John Fetterman (Democratic)Peter Welch (Democratic)Susan M. Collins (Republican)Mark Kelly (Democratic)

Finance Committee

  • Introduced
  • In Committee
  • On Floor
  • Passed Chamber
  • Enacted
This bill amends the Internal Revenue Code to significantly broaden the permissible uses of 529 education savings accounts, expanding the definition of qualified higher education expenses . It will now include certain postsecondary credentialing expenses , allowing account holders to use their savings for a wider range of workforce development opportunities beyond traditional college degrees. This aims to provide greater financial flexibility for individuals investing in skills-based training and professional development. Specifically, the legislation defines qualified postsecondary credentialing expenses to cover tuition, fees, books, supplies, and equipment for recognized postsecondary credential programs, as well as testing and continuing education fees required to obtain or maintain these credentials. The bill outlines criteria for what constitutes a recognized postsecondary credential program and a recognized postsecondary credential , encompassing industry-recognized certifications, registered apprenticeships, and occupational or professional licenses. These amendments will apply to distributions made from 529 accounts after the bill's enactment, supporting investments in crucial workforce skills.
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Timeline

Bill from Previous Congress

S 117-905
Freedom To Invest in Tomorrow's Workforce Act

Bill from Previous Congress

S 118-722
Freedom To Invest in Tomorrow's Workforce Act
Feb 7, 2025

Latest Companion Bill Action

HR 119-1151
Introduced in House
Feb 26, 2025
Introduced in Senate
Feb 26, 2025
Read twice and referred to the Committee on Finance.
  • Bill from Previous Congress

    S 117-905
    Freedom To Invest in Tomorrow's Workforce Act


  • Bill from Previous Congress

    S 118-722
    Freedom To Invest in Tomorrow's Workforce Act


  • February 7, 2025

    Latest Companion Bill Action

    HR 119-1151
    Introduced in House


  • February 26, 2025
    Introduced in Senate


  • February 26, 2025
    Read twice and referred to the Committee on Finance.

Taxation

Related Bills

  • HR 119-1151: Freedom to Invest in Tomorrow’s Workforce Act
  • HR 119-1: An act to provide for reconciliation pursuant to title II of H. Con. Res. 14.

Freedom to Invest in Tomorrow’s Workforce Act

USA119th CongressS-756| Senate 
| Updated: 2/26/2025
This bill amends the Internal Revenue Code to significantly broaden the permissible uses of 529 education savings accounts, expanding the definition of qualified higher education expenses . It will now include certain postsecondary credentialing expenses , allowing account holders to use their savings for a wider range of workforce development opportunities beyond traditional college degrees. This aims to provide greater financial flexibility for individuals investing in skills-based training and professional development. Specifically, the legislation defines qualified postsecondary credentialing expenses to cover tuition, fees, books, supplies, and equipment for recognized postsecondary credential programs, as well as testing and continuing education fees required to obtain or maintain these credentials. The bill outlines criteria for what constitutes a recognized postsecondary credential program and a recognized postsecondary credential , encompassing industry-recognized certifications, registered apprenticeships, and occupational or professional licenses. These amendments will apply to distributions made from 529 accounts after the bill's enactment, supporting investments in crucial workforce skills.
View Full Text

Suggested Questions

Get AI-generated questions to help you understand this bill better

Timeline

Bill from Previous Congress

S 117-905
Freedom To Invest in Tomorrow's Workforce Act

Bill from Previous Congress

S 118-722
Freedom To Invest in Tomorrow's Workforce Act
Feb 7, 2025

Latest Companion Bill Action

HR 119-1151
Introduced in House
Feb 26, 2025
Introduced in Senate
Feb 26, 2025
Read twice and referred to the Committee on Finance.
  • Bill from Previous Congress

    S 117-905
    Freedom To Invest in Tomorrow's Workforce Act


  • Bill from Previous Congress

    S 118-722
    Freedom To Invest in Tomorrow's Workforce Act


  • February 7, 2025

    Latest Companion Bill Action

    HR 119-1151
    Introduced in House


  • February 26, 2025
    Introduced in Senate


  • February 26, 2025
    Read twice and referred to the Committee on Finance.
Amy Klobuchar

Amy Klobuchar

Democratic Senator

Minnesota

Cosponsors (16)
Tommy Tuberville (Republican)Tammy Duckworth (Democratic)Roger Marshall (Republican)Dan Sullivan (Republican)Katie Boyd Britt (Republican)Thomas Tillis (Republican)Cindy Hyde-Smith (Republican)Jerry Moran (Republican)Eric Schmitt (Republican)Angus S. King (Independent)John W. Hickenlooper (Democratic)Jacky Rosen (Democratic)John Fetterman (Democratic)Peter Welch (Democratic)Susan M. Collins (Republican)Mark Kelly (Democratic)

Finance Committee

Taxation

Related Bills

  • HR 119-1151: Freedom to Invest in Tomorrow’s Workforce Act
  • HR 119-1: An act to provide for reconciliation pursuant to title II of H. Con. Res. 14.
  • Introduced
  • In Committee
  • On Floor
  • Passed Chamber
  • Enacted