New Law Expands Uses for Nebraska’s Education Savings Plan

(LINCOLN, Neb.) — Nebraska Educational Savings Trust (NEST 529) accounts can now be used to pay for a broader range of post-secondary education and career training programs, thanks to a new state law that took effect July 17.

Earlier this year, Gov. Jim Pillen signed LB 748 after it was passed by the Nebraska Legislature. Under LB 748, NEST 529 accounts can be used for eligible credential and career training programs that may not require a traditional college degree. These career fields include electrical work, automotive repair, welding, manufacturing, HVAC, CDL training, health care, IT, carpentry, and construction.

Nebraska State Treasurer Joey Spellerberg, who testified in January in support of LB 748, said the new law will help Nebraska meet its workforce needs while providing families with greater flexibility when saving for education and training beyond high school.

“Not every successful career begins with a four-year college degree,” Spellerberg said. “This new law gives families greater flexibility to prepare for high-demand careers while taking advantage of the tax benefits offered through NEST 529. Whether a student chooses college, technical training, or an industry-recognized credential, NEST 529 can help them reach that goal.”

Administered by the Nebraska State Treasurer's Office, the NEST 529 program has grown to approximately 307,000 tax-advantaged savings accounts holding more than $8 billion in assets.

More than 22% of Nebraskans under 18 have NEST accounts, making NEST 529 one of the nation's most successful state-sponsored education savings plans.

Learn more at www.nest529.com.