Tax Playbook · Big life moves
Coverdell ESAs
You can put up to $2,000 per child per year into a Coverdell ESA — that limit is per child, not per person contributing. The money grows tax-free and stays tax-free when spent on school, from grade school through college. If you earn $95,000–$110,000 single or $190,000–$220,000 married, the amount you can contribute shrinks, and above that you cannot contribute at all.
Good for: Families saving for a child's school costs.
Learn the basics
Recent articles & guides
- Kiplinger: 529 plan vs Coverdell ESA — which should you choose
- KPM CPA: Coverdell education savings accounts
- Number Analytics: Coverdell education savings accounts tax law guide
- Equity Trust: Coverdell ESA contribution limits
On this site
Related strategies
Roth conversions in low-income yearsIn a year your income is low — a gap year, early retirement — move money from your pre-tax retirement account …Move to a lower-tax stateMoving from a high-tax state like California to Texas or Florida can save five figures a year in state income …Annual gifts & the lifetime exemptionIn 2026 you can give anyone $19,000 a year ($38,000 per couple) with no tax paperwork. And over your lifetime …Bunch medical expensesYou can only deduct medical bills that are more than 7.5% of your income — say you earn $100,000, so the first…IRMAA: keep Medicare premiums downWhen you turn 65, Medicare checks your income from two years ago. For 2026, if that income is over $109,000 (s…Roth IRAs for kidsA child with a real job can have a Roth IRA. In 2026 you can put in up to $7,500, or less if the child earned …
Browse all 97 strategies in the interactive playbook
Educational summary, not tax advice. Limits and rules change — confirm current law with your tax adviser.