<prompt> Human: I have just graduated from college. I used some, but not all, of money in a 529 account in my name that my dad put away for me when I was a kid to pay for the tuition. Since I didnt use all of it, what happens now? Can I use it to pay off my student loans? Do I have to pay taxes on it now that I have graduated? The account is supposed to be non-taxable because it is just used for educational expenses. If I am only using it to pay off my student loans, do I have to declare that left over money in the account as income? I was planning on using the left over 10k to make a dent in paying off my loans, but I am worried that if I take out the money after my graduation date, I will all of a sudden have to pay taxes on it in 2017. And...after just graduating Im trying to make money on my taxes, not pay them. Thanks for the help!  <response>: Why did you take out loans when you had a 529? 