Series 6: 3.6.2. Coverdell Education Savings Accounts

Taken from our Series 6 Top-off Online Guide

3.6.2.  Coverdell Education Savings Accounts

The Coverdell Education Savings Account (CESA or Coverdell ESA) was previously known as the Education IRA. The Coverdell ESA is similar to a 529 college savings plan in that contributions are made with cash in after-tax dollars and all withdrawals can be made tax-free as long as they are used for qualified educational expenses.

There are also differences between Coverdell and 529 accounts. First, annual contributions are limited to $2,000 in total across all Coverdell accounts for a

Since you're reading about Series 6: 3.6.2. Coverdell Education Savings Accounts, you might also be interested in:

Solomon Exam Prep Study Materials for the Series 6
Please Enable Javascript
to view this content!