PA529
How Pennsylvania's 529 tax deduction works per beneficiary, what it saves, the other PA529 benefits, and a calculator.
PA529 deduction calculator
PA529 tax deduction
Pennsylvania taxpayers can deduct up to $19,000 of contributions per beneficiary per year, or $38,000 if married filing jointly when each spouse had at least $19,000 of income. At PA's 3.07% flat rate the maximum saves $583.30 per beneficiary ($1,166.60 joint).
Other PA529 benefits
- PA 529 accounts are exempt from Pennsylvania inheritance tax.
- PA 529 assets aren't counted for Pennsylvania state financial aid, and they're protected from creditors in Pennsylvania.
- Withdrawals for qualified education costs are free of Pennsylvania income tax.
Project growth with the 529 calculator.
Common questions
How much can I deduct for PA529?
Up to $19,000 per beneficiary per year, $38,000 married filing jointly if each spouse had $19,000 of income.
Is PA529 exempt from inheritance tax?
Yes, the account is exempt from Pennsylvania inheritance tax.
Sources
More savings and interest calculators: NY529 · Ohio529 · ScholarShare 529 · Ten Year Treasury Yield
Related
General information, not financial, tax or legal advice. Check important numbers with the official source before acting on them.