Coverdell education savings account
A master class in college savings.
This account can be used to pay the qualified elementary, secondary or higher education expenses of a designated child. With a Coverdell, you make nondeductible contributions that may provide for tax-free withdrawal in the future. That even includes earnings on the account. Visit a branch near you to open an account.
Frequently asked questions
Any child under the age of 18 can be named a beneficiary.
The max is $2,000 per year per child younger than age 18.
Your combined contributions can’t exceed the $2,000 max per child.
The funds must be used by the time the child reaches age 30. They can be spent on qualified educational expenses such as tuition, fees, books, supplies, uniforms and more.
Yes, assets from a Coverdell account may be transferred to the assets of a sibling’s Coverdell Education Savings Account.
No, unfortunately not. Please consult your tax adviser for more information.
Yes, they are!