Footnotes
1 Withdrawals for tuition expenses at a public, private or religious elementary, middle or high school, registered apprenticeship programs, and student loans can be withdrawn free from federal and Oklahoma income tax. If you are not an Oklahoma taxpayer, these withdrawals may include recapture of tax deduction and state income tax as well as penalties. You should talk to a qualified professional about how tax provisions affect your circumstances. ↩
A nonqualified withdrawal is any withdrawal that does not meet the requirements of being a (a) qualified withdrawal; (b) taxable withdrawal; or (c) rollover. The earnings portion of a nonqualified withdrawal is subject to state and federal income taxation and the 10% additional federal penalty tax on earnings (the "Additional Tax"). See the Plan Description for more info.
Your Oklahoma 529 account can be used at colleges, universities, CareerTech, community colleges, graduate or postgraduate programs, apprenticeships and more. Contact your school to determine whether it qualifies as an eligible educational institution or use the Federal School Code Search tool on the Free Application for Federal Student Aid (FAFSA) website.
You may request a withdrawal via your account online . Select the beneficiary you would like to withdraw the money for, click "Make a Withdrawal" on the lefthand navigation and follow the directions. You may also request a withdrawal using the Withdrawal Request Form .
The beneficiary must be enrolled at least half-time at an eligible postsecondary institution. For students living in housing owned and operated by the institution, the full invoice amount will be used to determine the qualified housing and food expenses. In the case of students living at home or in off-campus housing, the "cost of attendance" allowance for the individual institution will be used for the qualified housing and food expenses.
Computers and related technology such as internet access fees, software or printers are also qualified education expenses. The student must be the primary user of the equipment.
Federal tax treatment of a 529 plan's qualified higher education expenses (QHEEs) includes the repayment of up to $10,000 (including principal and interest) on any qualified education loan of either a 529 plan designated beneficiary or a sibling of the designated beneficiary. To be a qualified expense, the loan repayment amount for an individual is subject to a lifetime limit of $10,000. 1 Get additional details in the Plan Description .