Education Savings Account (Coverdell ESA) – Insured to $100,000
The annual contribution has been increased to $2,000 per beneficiary. This contribution does not count against the limits for IRAs. The designated beneficiary must be an individual under the age of 18. The age 18 limit will not apply to any designated beneficiary with special needs.
Education Savings Account earnings grow tax–free. Your ESA can be used to pay qualified elementary school and secondary school expenses, as well as expenses for higher education.
Catch Up Contributions: There are no catch up contributions.
Distributions must be completed 30 days after beneficiary reaches age 30 or dies.