College savings for every future
Understanding 529 plans and their benefits
Give the gift of knowledge, career skills and life-changing opportunities to an eligible beneficiary—in the form of a tax-advantaged, benefits-oriented college savings account that can be used for a variety of qualified educational expenses.
What is a 529 plan?
Kick-start your college fund with an account that’s flexible and simple to manage, with earnings that are tax-deferred!
A tax-advantaged way to save for college and other educational expenses
Can be used for expenses like tuition, fees, computers, textbooks, and room and board1
What can a Path2College 529 Plan do for me?
Tax-advantaged growth potential
With a Path2College 529 Plan account, you could save more with tax-deferred growth and 100% tax-free earnings for qualified withdrawals. Georgia taxpayers can also reduce their state taxable income up to $8,000 per year, per beneficiary if married filing jointly ($4,000 for single filers). When you pay less taxes, you have the ability to save more and grow your college savings account faster—giving your beneficiary an even bigger head start.
With our 529 plan, you can grow your college savings faster.
Potential growth of $1 invested over an 18-year period with Path2College tax advantages*
- Bank Savings Account
- Taxable Investment
- Path2College 529 Plan
Read about material differences between bank savings accounts, taxable investments and Path2College 529 Plan.
- *Hypothetical example. Assumes Taxable Investments/Path2college 529 Plan ROI of 6% compounded annually and a savings account ROI of 0.35% (average rate for week of 2/21/2023 per FDIC: https://www.fdic.gov/resources/bankers/national-rates) compounded continuously. Tax calculations assume federal tax rate of 22% and GA tax rate of 5.75%, that all taxes are paid at the end of the 18th year, and that state taxes are not federally deductible. This illustration is for informational or educational purposes only and does not constitute advice, represent actual performance or predict future results and does not reflect any reduction for expenses or benefit of a state tax deduction for Path2College 529 Plan contributions. This material does not take into account any specific objectives or circumstances of any particular investor or suggest any specific course of action. Be sure to consult your legal or tax professional for advice.↩
A Path2College 529 Plan account can be used to pay for a wide range of qualifying educational expenses. You can withdraw funds at any time for qualified expenses and even transfer funds to eligible beneficiaries at no cost.
- Use your savings at colleges, universities, technical and community colleges, at graduate or post-graduate schools, professional programs, apprenticeships and more.3
- Pay for tuition, fees, computers, textbooks, room and board or off-campus rent, and other required expenses.
- Pay for qualifying K-12 expenses.3
- Use your funds at eligible institutions in-state, out-of-state and even some schools abroad.
- Use for student loan repayment subject to a lifetime limit of $10,000 per individual.3
- Effective January 1, 2024, 529 funds may be rolled over to a Roth IRA in the name of the beneficiary of the 529 Plan. For Georgia taxpayers, a rollover from a 529 plan account to a Roth IRA will be treated as a qualified withdrawal. If you are not a Georgia taxpayer, these withdrawals may include recapture of tax deduction and state income tax. There are conditions that must be met including the 529 Plan must have been in existence for at least 15 years. You should talk to a qualified professional about how tax provisions affect your circumstances.
The Path2College 529 Plan offers a variety of professionally managed portfolios to fit your life situation, risk tolerance and college savings goals. Whether you’re a new or experienced investor, prefer to be hands-on or would rather “set it and forget it,” there’s a plan for you.Investment options
This 529 plan was created by the State of Georgia
The state of Georgia selected TIAA-CREF Tuition Financing, Inc. (TFI) as the Path2College Plan Manager. TFI is a wholly owned, indirect subsidiary of TIAA, one of America’s leading financial services organizations for over 100 years.Who We Are