A Coverdell Educational Savings Account (ESA) is a tax advantaged account for the purpose of funding various levels of education, not just college. Elementary and secondary educational expenses can also be covered.
- Contributions are not tax deductible but grow tax free until distribution
- Contributions can be made until beneficiary turns age 18
- Must be used for qualified educational purposes
- Income limitations may restrict your ability to contribute
- Annual contribution limits are relatively small