Frequently Asked Questions/Coverdell IRAs
What is a Coverdell Education Savings Account?
A savings account created to help parents and students save for education expenses.
What is the total amount I can contribute to an account?
Total annual contributions can't exceed $2,000 per year per beneficiary.
Can I have more than one Coverdell Education Savings Account?
A child can have more than one Education Savings Account, however; the total contributions may not exceed the $2,000.00 annual limit.
Are distributions tax-free?
Yes, distributions are tax-free as long as they are used for qualified education expenses.
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