It’s important to start or keep saving – regularly, and in whatever amount you can afford. After all, every dollar saved for college now is one less you’ll have to borrow or spend in the future.
With the Pennsylvania 529 Guaranteed Savings Plan (GSP), you can rest easily knowing that your savings will keep up with the rising cost of tuition.
How the PA 529 GSP can help you make college affordable:
- Help your savings keep pace with rising tuition costs.
- Cut your tax bill with important tax advantages and special benefits for Pennsylvania residents.
- Keep track of your savings as your child grows.
- Provide you with easy account access, flexibility, and the freedom to get
your money back at any time, for any reason.
- Boost your savings with attractive rewards programs.
Save with the PA 529 GSP and cut your taxes.
State Tax Deductions
Pennsylvania taxpayers can deduct contributions to their PA 529 GSP from their Pennsylvania taxable income up to $14,000 per Beneficiary per year. For married couples, contributions up to $28,000 per Beneficiary are deductible, provided each spouse has taxable income of at least $14,000.
The money you save for college in your PA 529 GSP account is federal and state
tax-free while it remains in the account.
When used for qualified expenses, the growth in your account is not subject to
federal or state income taxes.*
* The availability of tax or other benefits may be contingent on meeting other requirements. A withdrawal or a portion of a withdrawal not used to pay for qualified expenses may be subject to federal income tax and a 10% federal penalty tax, as well as state and local income taxes.