A Coverdell Education Savings Account (ESA) is a tax-advantaged investment account designed to encourage savings for future education expenses. It can be established for a beneficiary under the age of 18, and the savings can be used for qualified education expenses from elementary through higher education.
Qualified higher education expenses are necessary for taxpayers or dependents to apply for tax benefits like the American Opportunity Tax Credit, the Coverdell Education Savings Account, and the Lifetime Learning Credit.
