For second year, money to go to Keystone Scholars program
Harrisburg, PA – Pennsylvania Treasurer Joe Torsella today announced that for the second year in a row he will again donate the full amount of his automatic pay increase to the Keystone Scholars Program.
“When Pennsylvanians hired me for the job of State Treasurer, I promised to keep my focus on helping improve their salaries, not my own. I didn’t ask for this pay increase, and for the second year in a row, I’m happy to donate the full amount to the Keystone Scholars program. We have a chance to invest in the futures of every new Pennsylvanian, and that’s an investment I’m personally willing and proud to make.”
Pennsylvania Treasurer, Joe Torsella
Treasurer Torsella is one of many Pennsylvania state officials that will receive a pay increase in 2019. The increase is linked by state law to the year-over-year change in the consumer price index published by the U.S. Department of Labor for urban consumers in the mid-Atlantic region.
Treasurer Torsella unveiled the Keystone Scholars Program in February 2018 as Pennsylvania’s first universal children’s savings account program. It was later passed into law as part of the 2018-19 state budget.
Starting in January 2019, the Keystone Scholars Program will establish a $100 scholarship grant for every newborn who is a Pennsylvania resident or adopted by a Pennsylvania family to be invested for higher education. The Keystone Scholars grant will be managed by the PA 529 College and Career Savings Program under Treasury.
For 25 years Pennsylvania Treasury has administered the PA 529 College and Career Savings Program which sponsors two plans - the PA 529 Guaranteed Savings Plan (GSP), in which savings grow with the rate of college tuition inflation and the PA 529 Investment Plan (IP), which allows account holders to choose how contributions are invested from a list of 16 options. PA 529 IP returns are based on financial market performance, whereas PA 529 GSP returns are based on college tuition increases.
Current and future college students in Pennsylvania have over $4.7 billion saved for higher education, between both PA 529 plans.