The legislation would expand qualified expenses under 529 savings plans to include postsecondary training and credentialing, such as licenses and nongovernmental certifications. The bill would provide valuable tax-advantaged resources for families, students and workers—with or without a college degree—who pursue career growth, mid-career changes or pathways that diverge from a typical academic route.

The Coalition and legislation’s goal is to shift the 529 paradigm from “college savings plans” to “career savings plans.” Representatives Rob Wittman (R-Va.) and Abigail Spanberger (D-Va.) lead in the House and Senators Amy Klobuchar (D-Minn.) and Mike Braun (R-Ind.) lead in the Senate.

“I’m pleased to see support continue to grow for The Freedom to Invest in Tomorrow’s Workforce Act, which will provide students in Virginia and across the nation with additional resources to pay for tuition, exam, training, and supply costs associated with obtaining postsecondary education workforce certifications,” said Wittman. “The majority of America’s workforce consists of middle-skill jobs that require more than a high school education but not a bachelor’s degree, which is why I’m proud to be leading this legislation in the House. I will keep fighting to equip our students with the tools and resources they need to lead our nation forward.”

“For more than four years, we’ve been leading this bipartisan effort to make job training and continued education more affordable and attainable for all Virginians. Momentum is continuing to grow,” said Spanberger. “529 savings accounts have long helped Virginians afford a higher education — whether at a four-year college or a trade school. Our commonsense, bipartisan bill would give students and workers across our Commonwealth the ability to use their 529 plans to cover the cost of tuition, books, and testing related to workforce training programs. Thank you to ASAE for your support of our legislation and your continued commitment to helping Virginia workers remain competitive and successful.” 

“The Freedom to Invest in Tomorrow’s Workforce Act can empower workers of any educational background, skill level or age,” said ASAE President and CEO Michelle Mason, FASAE, CAE. “This pragmatic policy would support all industries and professions that rely on employees with specialized training or credentials. Our community is grateful to the Congressional champions for their commitment to supporting our current and future workforce.”

S. 722 also continues to build support, with Senators Mazie Hirono (D-Hawaii) and Eric Schmitt (R-Mo.) cosponsoring the bill in recent weeks.

Review ASAE’s one-pager for more information on the Freedom to Invest in Tomorrow’s Workforce and the Tomorrow’s Workforce Coalition.

Training and credentialing organizations help expand industry excellence, establish and strengthen professional pathways, increase workers’ earning power, foster marketplace competition and supply consumers with the best products, services and expertise.

 

MEDIA CONTACT: Chris Vest, CAE, 202-626-2798, cvest@asaecenter.org

 

About ASAE

ASAE is a membership organization of more than 48,000 association executives and industry partners. Since it was established 100 years ago, its members have and continue to lead, manage, and work in or partner with organizations in more than a dozen association management disciplines, from executive management to finance to technology. With the support of the ASAE Research Foundation, a separate nonprofit entity, ASAE is the premier source of learning, knowledge, and future-oriented research for the association and nonprofit profession and provides resources, education, ideas, and advocacy to enhance the power and performance of the association and nonprofit community. Visit ASAE at asaecenter.org.