08/18/2023

Act Now: Join the Tomorrow's Workforce Coalition

This coalition aims to expand post-secondary credentialing

The Tomorrow's Workforce Coalition advocates for beneficial workforce development policy aimed at strengthening the economy now and into the future.

The coalition supports the bipartisan, bicameral Freedom to Invest in Tomorrow’s Workforce Act (S. 722/H.R. 1477), which would expand qualified expenses under 529 savings plans to include post-secondary training and credentialing, such as licenses and professional certifications; it would provide valuable tax-advantaged resources to more workers pursuing career growth, mid-career changes or alternative career pathways.

A 529 plan is a state-sponsored education savings vehicle that is exempt from federal taxes if funds are used to pay for qualified education expenses. These include college, graduate or professional degrees; programs from Title IV accredited institutions; registered apprenticeship programs; up to $10,000/year in K-12 tuition and certain student loan repayments.

Training & credentials are ineligible for 529s. America’s workforce is comprised mostly of middle-skill jobs that require more than a high school education but not a bachelor’s degree, according to the National Skills Coalition. A differentiator amid the 21st century workforce economy is postsecondary credentialing—for workers with or without a college degree.

The Freedom To Invest In Tomorrow’s Workforce Act addresses this problem in a number of ways, including enabling families to use 529 plans to help cover:

• Credential program tuition, including prep courses;
• Testing fees, including practice exams;
• Required books and equipment;
• Continuing education and credential renewal; and
• Other charges required to obtain and maintain a credential.

Learn more and sign on to the letter: https://bit.ly/TWC_OSAP_ASAE