how do section 529 plans distribution impact financial aid
How 529 Plans Affect Financial Aid. Share this page. 529 college savings plans can affect eligibility for need-based federal student aid in one of two ways, as an asset or as a distribution.The financial aid treatment depends on who owns the college savings plan and whether a distribution is qualified or non-qualified.ow 529 Plans Affect Financial Aid. Share this page. 529 college savings plans can affect eligibility for need-based federal student aid in one of two ways, as an asset or as a distribution.