Coverdell Educational Savings Account
It's never too early to start saving for your child's education. That makes a Coverdell Educational Savings Account an excellent option for anyone with children under 18. Parents, guardians, grandparents or anyone else can contribute up to $2,000 combined per year until the child reaches 18, and withdrawals are tax-free† if used for educational purposes. Education is a serious investment, and you need a serious plan to be prepared for it. Talk to us today about a Coverdell Educational Savings Account, and help prepare your child to one day take on the world.
- Can be set up for any child under 18
- Anyone can contribute, up to a combined $2,000 per year, if the contributor's adjusted gross income meets requirements
- Withdrawals are tax-free if used for educational purposes†
- A child can have multiple accounts, but annual contributions to all cannot exceed $2,000
- Eligible education expenses include fees, tuition, books, supplies, room and board if the beneficiary is at least a part-time student††
- Contributions are not tax-deductible†
- Unused funds can be withdrawn by the designated beneficiary before the age of 30 at a 10 percent penalty, or can be rolled over into an account to benefit a qualified eligible family member
† Certain qualifications apply. Consult your tax advisor for more information.
†† Consult your tax advisor for a complete list of qualified expenses.
Other Investment Options
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Investment products are: Not a Deposit Not FDIC Insured Not Insured by any Federal Government Agency Not Guaranteed by the Bank May Go Down in Value.