Q. Can Coverdell and/or 529 college savings plans be used to cover room and board if your full time college student is living at home with parents.
A. Actually the answer is yes. It's clearly yes in the case of food (board). You are limited to your actual cost or the amount the school charges resident students, whichever is less. If the student is paying rent to the parents, you may claim "room"; again the amount of rent he actually pays or the schools room charge, whichever is less. It's not clear whether "room" is allowed otherwise, as there is little or no incremental costs to the parents.
