What if you don't end up needing your savings?
What if you don't end up needing your savings?

College savings accounts are flexible
Some things you save for are pretty much certain—you want to retire someday, your car will eventually break down, you'd like to become a homeowner—but college might not be one of them.
If you're thinking about saving for college but your kid is still in diapers, you might be wondering:
- Will he or she even want to go to college?
- What if he or she gets a scholarship?
- What if I urgently need to use the money for something else?
Never fear—you have lots of options.
You can use the money for other types of education
For instance, if your child decides he or she would rather pursue a career as a chef or mechanic, certain types of accounts can be used to pay for vocational schooling.
Some savings options even cover elementary and secondary school costs as well as graduate school.
You can use the money for someone else
Some college savings accounts require you to indicate the person you plan to use the money for. But if your kid doesn't end up using it, you can always transfer the account to another person.
If all else fails, you can use the money for anything
No matter which type of account you open, you can take your money out and use it for whatever you choose. However, accounts that have tax benefits also have penalties if you take money out for costs that aren't educational. (The penalties only apply to earnings in the account, not contributions.)*
If your child does end up getting a full-ride scholarship—and in certain other situations—some account types will give you an exception from the penalty.
We're here to help
Talk with one of our education savings specialists.
Call 866-734-4533
Monday through Friday
8 a.m. to 8 p.m., Eastern time
Where does college fit into your priorities?
Open a Vanguard 529 account
*If you received a tax deduction on your contributions, your state might require you to pay it back if you use the money for expenses that aren't qualified. Some states also adjust the amount owed for inflation.
All investing is subject to risk, including the possible loss of the money you invest.