Coverdell Education Savings Account

Education funding for many families today involves more than saving for college and can include the expenses of elementary and high school. From computers and tuition to uniforms, the expenses quickly add up.

A Coverdell Education Savings Account is a tax-favored IRA account that allows you to save up to $2,000 per year per child for a variety of education expenses. Total contributions for the beneficiary in any year can’t be more than $2,000, no matter how many separate Coverdell ESAs have been established for the beneficiary. Your contributions grow tax-deferred and may be withdrawn tax-free for qualified education expenses. Open a Coverdell Education Savings with $50 or a Coverdell Education Certificate with $100.

This account is ideal for parents or grandparents who:

  • Have multiple children or grandchildren planning to attend college
  • Are starting college planning early
  • Have children attending private elementary or secondary schools
  • Their modified adjusted gross income (MAGI) is less than $110,000 ($220,000 if filing a joint return)

You Get:

  • Premium dividends (interest) – paid monthly for savings accounts and quarterly for certificates
  • Tax-free earnings and disbursements on qualified withdrawals
  • One account per child may be opened

Open a Coverdell Savings Account Today
Call: (651) 451-5160 or (800) 813-9185
Visit: Visit a Heartland Branch