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What if I invest in a Coverdell Education Savings Account (formerly known as an Education IRA) and my child doesn complete college?

April 26, 2017child college COMPLETE Coverdell Education invest IRA known savings account

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What if I invest in a Coverdell Education Savings Account (formerly known as an Education IRA) and my child doesn complete college?

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You may be able to transfer any unused funds to another child in your family. A Coverdell Education Savings Account allows you to invest up to $2,000 (not tax deductible) a year for any child under 18. When withdrawn, the interest/dividends earned may be tax free if the funds are used for the proper education expenses.