Students who use college savings plans often have a variety of alternatives on how to spend the money they earn through these programs. These plans offer the option to get cash back or a percentage of money spent at certain merchants donated to a specific account. Depending on the type of program and amount of college money earned, the college savings plan money may have a heavy or light impact on the student's overall financial picture. College students may need assistance or advice from their parents on the best way to spend this money. These are some of the alternative uses for college planning funds secured through various programs.

529 Plans
A 529 college savings plan is one way to invest money for school. The program money can be squirreled away in an official 529 plan, which offers tax advantages on a federal or state level, depending on what the student chooses. Each state is required by the federal Department of Education to offer at least one tax-advantaged college savings plan in keeping with Section 529 of the federal tax code of the Internal Revenue Service (IRS). Students and their parents can choose from any plan, in-state or out-of-state, and are not required to use the one from their particular state where they live or attend school.

Expenses
Some students prefer to accept a check and spend the money on school expenses. These might include books, clothes, housing or transportation. Depending on the particular college savings program, the student may be limited on how the money can be used.

Savings Account
Students may wish to roll over additional funding into a high-yields savings account. This means that the money can earn additional money while the student is still in school. After it grows, the additional funding can be used for college tuition and other costs.

Reduce Debt
Students with loans may choose to pay down whatever they owe in borrowed funds with any additional savings or money they accrue along the way through programs, relatives or grants. Aside from beginning loan payback early, other options include making interest-only payments or making larger payments than are required. The sooner students pay back what they owe, the lesser the amount of money they pay in interest. As a result, when they pay more money sooner, the total amount owed is reduced.

Regardless of how students choose to spend their savings plan money, there are different advantages to each method. Careful consideration and parental advice help students make the best choice.