Give your kids the gift of education
- Competitive Dividends
- Tax Advantages1
- No Setup or Maintenance Fees
Most parents want to help their kids prepare for the future, whether than means going to college or learning a trade. But many parents worry about how they’ll pay for it. Fortunately, there’s something called a Coverdell Education savings account that can be a big help.
Here’s how it works: you (a family member or a nonfamily member1) make contributions into your child’s Coverdell Education savings account. The contributions aren’t tax deductible, but dividends grow on a tax-deferred basis. When your child is ready, withdraw funds for qualified educational expenses.1
A Coverdell Education savings account is a great way to alleviate some of the stress of preparing financially for your child’s future. And, at Family Trust, if we can do anything to help alleviate financial stress for our members, we will. Because here, you come first.
Here’s everything you get with a Coverdell Education savings account:
- Dividends grow tax-deferred
- Withdrawals are tax-free when used for qualified education expenses1
- Child must be under 18 when contributions are made
- Must be eligible to contribute to an ESA, and contribution limits apply1
- Contributions are not tax deductible
- Unused ESA funds may be eligible to be transferred to another family member1
- No opening, maintenance, or annual fee2
- $100 minimum deposit to open3
1. Consult a tax advisor.
2. A $5 statement by mail fee applies to accounts without e-statements. E-statement enrollment is required. Fee is waived for members with Premier Choice Checking, members under age 18 or over age 60.
3. Must meet Membership and eligibility requirements to open account.