529 Plans Can Now Fund Flight School & Mechanic Training Under New Aviation Workforce Development Act

The Aviation Workforce Development Act tweaks the Internal Revenue Code to make aviation training more affordable. Specifically, it lets you use 529 plan savings—those tax-advantaged accounts usually for college—to pay for flight school and aviation mechanic courses. This applies to distributions made after the enactment of this Act, so keep that in mind if you're planning to use those funds. (SEC. 2.)

Taking Flight with Tax Savings

This bill directly addresses the growing need for pilots and aviation mechanics. By expanding what counts as a "qualified higher education expense," the law opens up a new funding source for aspiring aviation professionals. Here's the breakdown:

• Qualified aviation maintenance course: This means instruction at an aviation maintenance technician school certified under part 147 of title 14, Code of Federal Regulations. (SEC. 2.) Think of the folks who keep planes in top shape – this helps them get trained.
• Qualified commercial pilot course: This covers commercial pilot courses at flight schools offering flight training, as defined in part 61, or those holding a pilot school certificate under part 141 of title 14, Code of Federal Regulations. (SEC. 2.) Basically, if you're aiming to be a commercial pilot, this could help you pay for the necessary training.

Real-World Impact

Imagine a recent high school grad who dreams of becoming an airplane mechanic. Previously, their 529 plan might have been limited to traditional college degrees. Now, they can use those funds for an aviation maintenance program, making that career path more financially feasible. Or picture someone already working, looking to switch careers and become a pilot. This change could make that expensive flight training a bit easier to swing.

The Bigger Picture

This change isn't just about individual savings; it's about addressing a broader workforce issue. The aviation industry is facing shortages, and making training more accessible is a direct way to tackle that problem. By making it easier to pay to learn, this bill is intended to make it easier to get the workforce that aviation needs.