Coverdell Education Savings Accounts (ESA) are tax-advantaged investment accounts in the United States to save for educational expenses. ESAs allow you to invest for education expenses without paying tax on the earnings. You can withdraw up to $10,000 tax-free to pay for K–12 tuition and qualified expenses such as textbooks and supplies each year.
Coverdell ESAs have maximum yearly contribution limits per student. Consult a tax advisor to learn more.