Novella Prep

College Planning | Test Prep | Academic Tutoring | Rye New York | Stamford Connecticut

Use Your 529 Plan for Novella Prep Services | 529 Plans for Novella Prep Services | Novella Prep

Use Your 529 Plan for Novella Prep Services

Starting January 1, 2026

Thanks to a new federal law, families may qualify to use their 529 education savings plans to pay for many of the services Novella Prep provides – tax-free.*

This means your investment in your child’s academic success just became significantly more affordable.

*Please consult your financial advisor/accountant before making any decisions
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What this means for your family

Beginning Jan 1, 2026, 529 funds may be used for:

SAT & ACT Test Preparation

Covered as “fees for standardized testing and college admission-related testing.”

Academic Tutoring

Explicitly included under eligible tutoring expenses.

Executive Function Coaching

Eligible when supporting a diagnosed learning difference (ex: ADHD, dyslexia).

Study Skills & Organizational Instruction

Falls under tutoring and educational skill development.

Instructional Materials

Books, practice guides, and approved learning tools.

Up to $20,000 per student, per year can be withdrawn tax-free for these services.

What's changing under the new law?

Public Law 119-21 expanded how families can use 529 plans, doubling K–12 eligibility from $10,000 to $20,000 and adding services like tutoring, test prep, and educational therapy.

Novella Prep services fall directly under these newly eligible categories.

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We Make the Process Easy

Every Novella Prep invoice includes:

  • Required service descriptions using official eligibility language
  • Dates, rates, and documentation your 529 plan needs
  • Clear indication of 529-qualified expenses
Save More Using Our Services | 529 Plans for Novella Prep Services | Novella Prep

Save More Using Our Services

Based on independent analysis, families using a 529 plan instead of paying out-of-pocket often save 20–35% or more — making test prep and tutoring far more affordable.

Why Families Are Using Their 529 Plans | 529 Plans for Novella Prep Services | Novella Prep

Why Families Are Using Their 529 Plans

  • Use funds you’ve already saved
  • No federal income tax on withdrawals
  • NY residents can still receive their state tax deduction for contributions
  • Makes test prep and tutoring more affordable
  • Clear, compliant invoices provided by Novella Prep

FAQs

No. Your 529 plan does not need to approve Novella Prep in advance. However, always consult your financial advisor/accountant before making any decisions.

Yes. Tutoring, SAT/ACT prep, executive function coaching (when tied to a diagnosis), and instructional materials all qualify under the law.

Yes. 529 rules are federal.

Book a consultation or contact our team. We’ll walk you through your options and provide everything you need.

Let's Talk 529

Schedule a free consultation with us if you have any questions about using your 529 plan to pay for Novella Prep services. We are so excited to be able to offer a more affordable option for all students to receive the high-quality, one-on-one support they deserve

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