News - May 2019 RSS Feed

Information 529 Education Tax Advantage Investment Plan To Save You Money! Dear Parents/Guardians, Greetings! On my recent conference in Harrisburg I was presented with this information by the Catholic Education Partners Foundation. I want to share with you a great opportunity to take advantage of tax saving on your education spending. The 529 will give you the opportunity to take of advantage of a tax-advanced investment plan. Here are the major points: • This was passed by the state of Pennsylvania in 2017 and funds placed in a 529 may be used for educations purposes from K- 12 including private and religious schools. • One advantage is there is no federal taxation of this investment education fund. In addition to tax free growth on investment, taxpayers in Pennsylvania may deduct up to $15,000 ($30,000 for joint fliers) from their taxable income. • Anyone may contribute to 529 PLAN FOR ANY BENEFICIARY. Any Pennsylvania taxpayer contributing to a 529 plan may take a deduction regardless of who the beneficiary is. • Funds can be used is a 529 in any state. • The beneficiary may be changed at any time and changes in beneficiary among family members will not incur a tax liability. The definition of family member is generous and may be found in plan disclosure documents. • The maximum amount that can be distributed tax free per calendar year is $10,000 per student, regardless of the number of 529 accounts. • It is very important to note: 529 can be used for K-12 expenses. There are no federal or Pennsylvania restrictions on using funds in a 529 account for K-12 tuition 2018 and beyond. I submitted this information to the Archdioceses of Philadelphia last week for distribution to all our Catholic Schools and for our parents/ guardians to take advantage of. Details should be coming soon. For more information go to: pacatholic.org. and pa529.com. Thank you! God’s light! Mr. “D”.