H.R.8714

Establishes skill savings accounts to help eligible employees save for qualified education expenses.

The Skill Savings Account Act of 2026 amends the Internal Revenue Code to create skill savings accounts for eligible employees. Contributions to these accounts are excluded from gross income up to $10,000 per year. Distributions used for qualified education expenses are also tax-free. Accounts must be held by a bank, insurance company, or another approved trustee. Amounts not used for qualified education expenses are included in the account beneficiary's gross income. The bill defines "qualified education expenses" as those that would qualify for employer-provided educational assistance.