My son was beneficiary or CA Scholarshare 529 plan. He received so much in scholarships and grants there was over $40,000 left when he graduated. I left the money in the plan in case he wanted to go on to get a Master's degree. He obtained very good employment & doesn't intend to get a graduate degree in the near future. Three years after he graduated and is no longer a dependent we needed to use the funds to make extensive emergency repairs to our house. How can we apply the scholarship and grant money now to reduce or eliminate the penalty for not using the funds while he was in school three years later?
