Coverdell Education Savings Accounts (CESA)
You can't put a price on a good education. But since every university can, it's wise to start saving early. After all, tuition, books, room, and other expenses can really add up! That's where a Coverdell Educational Savings Account (CESA) can help.
With this investment tool, the balance grows tax free and can be used to pay for educational costs. Start saving today for a brighter future for your future scholar!
- Save for a child's college education
- Formerly called Educational IRAs
- Dividends grow tax free
- Maximum contribution of $2,000 per year
- Withdrawals tax free when used for qualified education expenses
- Contributions are NOT tax deductible
- Contributions can be made until the child is 18 years old
- Funds must be distributed when recipient reaches age 30
- Contributors do not have to be related to recipient