I’m told by our Registrar that the University Waterloo is has recently been approved by the US Department of Education. For US residents interested in our engineering programs, this means that they will be able to use their 529 plans for tuition and some other eligible expenses at Waterloo. (For Canadians readers, this is like our RESP investments, although I’m sure there are various differences.)
We were aware that this lack of ability to use 529 plans was a bit of a barrier to some prospective US students. I’m glad we were eventually able to remove this barrier for the future. (Thanks to our administration, as I understand this takes significant effort and time to meet all the US government documentation requirements!)
The one continuing issue is that US students in engineering will still not be eligible for US federal financial aid, because their rules don’t permit online learning as part of a program. Our co-op engineering programs employ a work-integrated experiential learning model, where students do some small online courses during their work terms in industry. So for now, US federal financial aid is out for engineering, but 529 plans are OK. With the income from our paid co-op work placements, students might not qualify for much (if any) financial aid after first year anyway.
(P.S. all of Waterloo’s other regular programs probably qualify for US federal financial aid purposes. It’s just our co-op programs, like engineering, that don’t at this time.)