If you’re a parent of a teenager in their sophomore or junior year in high school, you’ve probably discussed with them your hope that they will be going to college. While it’s true that jobs requiring a college degree do tend to pay more than those that don’t, not everyone has the wherewithal to become a college graduate. In fact, according to the U.S. Census Bureau, less than 40% of American adults currently hold a bachelor’s (4-year) degree. Which suggests that there are plenty of jobs available for those that can’t afford to or apply the necessary rigor to complete a college curriculum.

The good news for those that choose not to attend college: the recent OBBBA legislation passed by Congress and the President has expanded the use of 529 education savings plans to include other forms of education besides college. Money in 529 accounts can now be used to pay for work force training, for preparation and testing required for certification or licensing; and for required continuing education to maintain skills or credentials. That includes funding education for non-college careers such as health care and construction and for jobs such as plumbers and repair technicians. The money can also be used to pay for continuing education in professional fields such as accounting, tax, and legal.

If you’re not familiar with 529 education savings accounts, they were first created over thirty years ago to help families and students save for their college education. They are state-sponsored and managed by mutual fund companies such as Vanguard or Fidelity. Money deposited in a 529 account grows tax free and can be withdrawn tax free when used for eligible college expenses such as tuition, room and board, books, and some supplies. According to the New York Times there are currently about 17 million 529 accounts holding approximately $525 billion.

With this latest expansion a 529 plan can be used not only for the above expenses but also for licensing fees and even job-related tools. Certification costs for courses at shorter-term credentialing programs such as Certified Professional Food Manager (CPFM) for food safety experts, Automotive Service Excellence (ASE) for auto mechanics, and Certified Financial Planner (CFP) for financial planners are also covered. And these types of educational programs are generally less expensive than a college degree. Of course, tax-free payments from 529 plans will only be available to legitimate credentialing programs, namely those that are recognized by your state’s Eligible Training Provider List (ETPL) or in the Web Enabled Approval Management System (WEAMS) database maintained by the U.S. Department of Veterans Affairs.

Expanding 529 plan benefits to additional educational opportunities should help increase their appeal. But it’s unclear how many more people will be able to take advantage of them. You need to have discretionary income to be able to fund them. Until now it’s been mostly higher-income families saving for their offsprings’ college education. It remains to be seen how broadly other job seekers and/or their families will take them up.

(Artie Green is founder of Cognizant Wealth Advisors dba Perigon Wealth Management, LLC, a registered investment advisor. For more information visit cognizantwealth.com. More information about the firm can also be found in its Form ADV Part 2, which is available upon request by calling 877-977-2555 or by emailing compliance@perigonwealth.com).