Path2College 529 Plan

The Path2college 529 Plan is a college savings plan established by the State of Georgia and is operated under the Georgia Office of Treasury and Fiscal Services (OTFS). This plan is administered through TIAA-Cref.

  • Any U.S. citizen or resident alien with a Social Security number or federal Taxpayer Identification Number

  • Minimum contribution is $15 payroll deduction; Contributions are on an after-tax basis; Maximum Account Balance is limited to $235,000 per Beneficiary

  • Minimum contribution is $15 payroll deduction; Contributions are on an after-tax basis; Maximum Account Balance is limited to $235,000 per Beneficiary
  • Qualified Withdrawals must be used to pay for tuition, certain room and board expenses, fees, and the costs of books, supplies and equipment required for the enrollment or attendance of the Beneficiary at an Eligible Educational Institution;

    Taxable Withdrawals are also permitted due to the Beneficiary’s death, permanent disability of the Beneficiary, receipt of scholarship award or certain other tax-free amounts, or attendance at a Military Academy. The earnings portion of these types of withdrawals will be subject to applicable federal and state income tax, if any, but will not be subject to a 10% additional federal tax;

    A tax-free rollover to another qualified tuition program for the same Beneficiary or a tax-free rollover to another qualified tuition program for a different Beneficiary may occur under certain circumstances;

    Unqualified withdrawals are withdrawals that do not fall into any of the categories above. Unqualified withdrawals will be subject to applicable federal and state income tax on earnings, if any, and a 10% additional federal tax is imposed on the earnings portion of Unqualified Withdrawals

  • Qualified Withdrawals and Rollover Distributions are not subject to federal income tax upon distribution;

    Taxable withdrawals are subject to federal income tax but not the Additional Tax;

    No federal gift tax on contributions of up to $60,000 (single filer) and $120,000 (married couple if prorated over 5 years

    Contributions are generally considered completed gifts to the Beneficiary for federal gift and estate tax purposes

  • Qualified Withdrawals and Rollover Distributions are not subject to Georgia income tax;

    Contributions are deductible for Georgia income tax purposes up to $2,000 per year per Beneficiary

  • See the Path2College website for more information about investment options at www.path2college529.com

The information above is merely a brief overview. For complete plan details, please visit the Path2College 529 Plan website at http://www.path2college529.com/index.html. For further investing information or tax advice, please contact a financial advisor or tax expert.

To enroll:

  1. Complete the Path2College Enrollment Form
  2. Complete the Path2College Payroll Deduction Form
  3. Submit both original completed forms to Human Resources; Human Resources will mail the originals to Path2College to set-up your account and will set-up your paycheck deduction through payroll as soon as administratively possible after receiving your enrollment form

Resources

http://www.path2college529.com/index.html
Path2College – Program Disclosure Booklet and Savings Trust Agreement
Path2College 529 Plan Customer Service Number: 1-877-424-4377
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