Coverdell Education Savings. Father and daughter adding money to a piggy bank.

Saving for education costs may be one of the greatest gifts you can provide, and it's never too early to start saving. With tax-free1 withdrawals on qualified education expenses, the Coverdell Education Savings Account is a flexible and safe choice for educational needs.

Features and Benefits
  • $2,000 maximum yearly contribution per account
  • Tax-free and penalty-free withdrawals for qualified education expenses1
  • Can be used for elementary and secondary education
  • An array of qualified expenses, including books, tuition, computers, and more


Type Min Balance To Earn APY Annual Percentage Yield (APY) Annual Dividend Rate (ADR)
Share (Savings) $50 0.15% 0.15%
Holiday, Summer and Fun Share (Savings) $50 0.15% 0.15%
IRA Savings Account No Minimum 0.40% 0.40%
Health Savings Accounts $50 0.40% 0.40%

Calculate How Much You Can Save 
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How much could I save over time?
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What savings amount should I start with?
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How much should I save each month? 

What To Expect 

To open a Coverdell Education Savings Account, you will need to have established CFE membership with a CFE Share Savings Account in good standing. Members are then able to apply to open a Coverdell Education Savings Account in person at any CFE branch or by calling our Contact Center.

Learn more about financing your education with CFE.


1Consult a tax advisor for tax related information.

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