On December 22, 2017, the president signed new tax legislation into law. While we're working on updating our website to reflect the new U.S. tax laws, the website may not address these changes.
The legislation includes several new provisions related specifically to 529 plan accounts, beginning with the 2018 tax year:
- Account owners can use assets to pay for qualified K-12 tuition expenses up to $10,000 per year, per student.
- Account owners can treat qualified K-12 withdrawals as qualified expenses with respect to the federal and Pennsylvania state tax benefits.
- Account owners can roll over 529 plans to ABLE plans, up to the ABLE annual contribution limit.
Please check back as we update our website to reflect these changes. For additional guidance on these new provisions, account owners should consult the Pennsylvania Department of Revenue at www.revenue.pa.gov or by calling 717-787-8201 or consult a qualified tax advisor about your personal situation.
Ambassador (Ret.) Joseph M. Torsella was sworn in as Treasurer of the Commonwealth of Pennsylvania on January 17, 2017. From Philadelphia’s City Hall to the National Constitution Center to the halls of the United Nations, his work is a reflection of his public service and leadership, which has earned him a reputation as a voice of purpose, honor and vision.
He administers the Unclaimed Property program annually, manages the state’s 529 College Savings Program and safeguards the financial health of the state. The Pennsylvania treasurer or his designee serves on approximately 20 boards on Treasury’s behalf and chairs the Board of Finance Revenue.
Raised in Berwick, Pa., Torsella is a graduate of Wyoming Seminary preparatory school and an honors graduate of the University of Pennsylvania, Phi Beta Kappa, with a degree in economics and history. He studied American History at New College, Oxford, as a Rhodes Scholar. He lives in Flourtown with his wife Carolyn, and they are proud parents to four children.
Better to Save than Borrow
The key to college saving is to start small and start now. Nothing helps your savings grow like time. And your money can grow even faster in a tax-advantaged 529 plan. Take advantage of the Pennsylvania 529 College Savings Program now. The sooner you start, the easier it is!