The cost of education is on the rise and students are looking for options to lighten the financial burden. That’s why at Community Banks of Colorado we are excited to offer the opportunity to help you save and pay for qualified elementary, secondary or postsecondary education expenses with the Coverdell ESA.
Qualified expenses may include:
- Tuition and fees
- Books, supplies and equipment
- Academic tutoring
- Special needs services
- Uniforms
- Room and board
- Computers or other peripheral equipment
Contributing to the Coverdell ESA if your household income meets certain requirements, you can contribute up to $2,000 per year to a Coverdell for each child. Contributions above $2,000 may incur taxes on the excess.
Visit your nearest banking center to talk with a banker today to see if a Coverdell ESA is right for you!
College 529 Savings Plan
A 529 plan is a tax-advantaged savings plan designed to encourage saving for future college costs. 529 plans, legally known as “qualified tuition plans,” are sponsored by states, state agencies, or educational institutions and are authorized by Section 529 of the Internal Revenue Code.
As a Colorado resident you are also eligible to open a CollegeInvest Direct Portfolio College Savings Plan. For more information visit CollegeInvest’s website.