New Tax Law regarding Coverdell Education Savings

Congress recently extended the provisions for the Economic Growth Tax Relief Reconciliation Act of 2001 to December 31, 2012 under the new Tax Relief, Unemployment Insurance Reauthorization and Job Creation Act of 2010.  For those with savings accounts such as the Coverdell Education, it is important to note that tax free withdrawals are possible for elementary and secondary education expenses while contribution levels remanin at $2,000.  If you have children and are seeking a way to invest in their future  education, it is wise to consider a Coverdell and/or revisit it with your personal financial advisor.