Money to go to Keystone Scholars program for the third year in a row
Harrisburg, PA - Pennsylvania Treasurer Joe Torsella today announced that for the third year in a row he will donate the full amount of his automatic pay increase in 2020 to the Keystone Scholars program.
“When Pennsylvanians elected me as our state’s treasurer, I knew what the salary was for the position. I didn’t ask for this automatic pay increase, and I again won’t accept it. At a time when our working and middle-class Pennsylvanians are not feeling the benefits of the new economy, I want to stay focused on increasing their salaries, not my own.
“One of the best ways we can help Pennsylvanians get ahead is to make sure our families have enough saved for whatever they pursue after high school. I’m deeply proud of our Keystone Scholars program, which gives every baby born or adopted in Pennsylvania a $100 starter deposit to help jumpstart those savings as soon as possible. I’m happy to continue to support that mission by donating my annual pay increase to Keystone Scholars for the third year.”
Pennsylvania Treasurer, Joe Torsella
Treasurer Torsella is one of many Pennsylvania state officials that will receive a pay increase in 2020. 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.
The Keystone Scholars Program provides a $100 starter deposit in a PA 529 account for every newborn who is a Pennsylvania resident or adopted by a Pennsylvania family to be invested for higher education.
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 on a bipartisan basis as part of the 2018-19 state budget.
For more than 25 years, the 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 $5.3 billion saved for higher education, between both PA 529 plans.