Bills · HR 1151
IN COMMITTEE· 119TH CONGRESS
House BillHR 1151Taxation
Freedom to Invest in Tomorrow’s Workforce Act
INTRO FEB 7· LAST ACTION FEB 7
READING
4MIN
COSPONSORS
203BIPARTISAN
READER REACTIONS0 TOTAL
NO VOTES YET · BE THE FIRST
- Introduced only
LEGISLATIVE PROGRESS
STEP 2 / 8Introduced
In Committee
Reported
Passed House
Passed Senate
Conference
To President
Became Law
WHAT THE BILL DOES
AI-writtenThis bill matters because it would broaden the definition of 'higher education' for tax-advantaged savings, aligning it more closely with the diverse needs of today's workforce. Many jobs now require specific certifications, licenses, or vocational training rather than a traditional four-year degree, and these programs can be expensive. If this bill becomes law, families will have more options for how to invest in career-ready skills without facing tax penalties.
Without this bill, 529 savings are typically restricted to degree-granting institutions, forcing families to use other, less tax-efficient savings methods for vocational training or risk penalties for non-qualified withdrawals. By passing this bill, it could encourage more people to pursue skills-based education, potentially helping to close skill gaps in various industries and making career advancement or transitions more financially accessible.
KEY PROVISIONS
3AI-extractedPROVISION 01
Expands eligible expenses for 529 accounts to include 'qualified postsecondary credentialing expenses'.
This allows individuals to use tax-advantaged savings for a wider range of job-focused training and certifications.
PROVISION 02
Defines 'qualified postsecondary credentialing expenses' to include tuition, fees, books, supplies, and equipment for recognized credential programs, as well as testing and continuing education fees.
This provision clarifies exactly what types of non-degree training costs can be covered by 529 plans.
PROVISION 03
Specifies what constitutes a 'recognized postsecondary credential program' and a 'recognized postsecondary credential'.
This ensures that only legitimate, reputable training programs and widely accepted credentials are eligible for 529 account funding.
SPONSORSHIP
1 + 203
R· Virginia
YRS IN OFFICE
18
BILLS LED
23
COSPONSOR BREAKDOWNBIPARTISAN · 86%
DEM 88 REP 115 IND 0
ACTION TIMELINE
2 EVENTSFEB 7
Introduced in House
FEB 7
Referred to the House Committee on Ways and Means.
BILL INFO
TypeHouse Bill
NumberHR 1151
Congress119th
StatusIn Committee
IntroducedFeb 7, 2025
Last actionFeb 7, 2025
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IN COMMITTEE· 119TH CONGRESS · WAYS AND MEANS COMMITTEE · INTRODUCED FEB 7, 2025
House BillHR 1151Taxation
Freedom to Invest in Tomorrow’s Workforce Act
INTRODUCED FEB 7, 2025· LAST ACTION FEB 7, 2025
PASSAGE CHANCES
—%
READING
4 min
COSPONSORS
203
COMPLEXITY
Moderate
