Coverdell Education Savings Account (formerly the Education IRA) The Coverdell Education Savings Account is designed for an important goal: education. Contributions to a Coverdell Education Savings Account are not deductible, but they grow tax-deferred and withdrawals are tax-free when used for education expenses.
Under the current rules, you can invest $2,000 per year per child (under age 18) to pay for certain education expenses. This includes tuition, books, supplies, and room and board for students enrolled more than half time. The money you invest in Coverdell Education Savings Accounts does not count against the maximum you may invest in your other IRAs. Eligibility to contribute to a Coverdell Education Savings Account follows the same income guidelines as the Roth IRA.
Annual Per Fund Maintenance Fee:
$7 ($14 maximum per Social Security Number)
Transaction Fee (Transfers & Redemptions):
$10
Account Minimum:
$500
Open a new Coverdell Education Savings Account - Registration Checklist In order to complete the account registration process, you will need to have certain personal financial information available to you. Please review and print this checklist before you begin. Open Account
The Social Security Number for the student.
The names of the Oakmark funds in which you want to invest. (Click here for an overview of the Oakmark Funds.)
Your Bank Account Number (either checking or savings, whichever you prefer).
Your Bank's Routing Number - See below for an example of where to find your bank's routing number.
Please read the Disclosure Statement for an explanation of Oakmark's Coverdell Education Savings Account.
