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We offer several ways to help you meet future educational expenses, including:
- Coverdell Education Savings Accounts - Tax-deferred accounts that allow you to save up to $2,000 a year per child. Earnings can be withdrawn tax-free when used for the child's education. (Verify with a tax expert).
- Custodial Accounts (UGMA, UTMA) - Accounts set up in the child's name. Earnings are taxed at the child's marginal tax bracket, rather than yours.
- 529 Plans - Another type of account in which money invested for educational purposes can grow tax-deferred. Withdrawals are tax-free when used for qualified education expenses. Since the specifics of these plans vary from state to state, please contact a Financial Consultant or Financial Specialist at your local U.S. Bank branch to determine which one best meets your needs.
Stop by your nearest U.S. Bank branch and speak with a U.S. Bancorp Financial Consultant for advice on education and college planning.
U.S. Bancorp Investments is not a tax advisor. When it is appropriate you are encouraged to seek professional tax advice.
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