Senate bill would provide equal financial aid treatment for all 529s

A bill (S. 1614) introduced into the Senate Health, Education, Labor, and Pension Committee would provide 529 prepaid tuition plans with the same federal financial aid treatment (i.e. parental asset) as 529 savings plans. Currently, prepaid plans are at a disadvantage because they are treated as resources that reduce financial aid eligibility on a dollar for dollar basis.

The House passed its version of the bill on July 22, 2005.
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