Education IRA (Coverdell Education Savings Account)
Education IRAs are designed to help individuals save for a child's education expenses
- Dividends grow tax-free
- Withdrawals are tax free when used for qualified education expenses1
- Contributions are not tax deductible
- Beneficiary must be under 18 at time of opening
- Beneficiary does not have to be a relative
- Mandatory distributions begin if balance remains when beneficiary reaches age 30
- Maximum annual contribution of $2,000
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IRA: Savings or Certificate
At Silver State Schools Credit Union, education IRAs can be opened either as a savings account or as a certificate. A savings account offers members the ability to earn dividends with the flexibility to access2 their funds at any time. A certificate offers members the opportunity to earn a higher dividend rate for added tax-deferred earnings for a term that is right for their needs.
| Education IRA Savings |
Education IRA Certificate |
| Earns dividends3 at a variable rate |
Earns dividends4 at a fixed rate |
| No monthly maintenance fee |
No monthly maintenance fee |
| No minimum balance requirements |
Terms from 12-60 months |
| No minimum deposit to open |
$500 minimum deposit to open |
| $25 fee to open/close |
$25 fee to open/close |
Deposit Rates
Traditional, Roth, & Education IRA Savings| Minimum Balance to Earn Dividends | Rate | APY* |
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| $0.00 - $2,499.00 | 0.25% | 0.25% | | $2,500.00 - $24,999.00 | 0.25% | 0.25% | | $25,000.00+ | 0.25% | 0.25% |
Traditional, Roth, & Education IRA Certificates| ($500.00 Minimum Deposit to Open) |
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| Term | Rate | APY* |
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| 12-23 months | 0.30% | 0.30% | | 24-35 months | 0.45% | 0.45% | | 36-47 months | 0.55% | 0.55% | | 48-59 months | 0.85% | 0.85% | | 60 months | 1.00% | 1.00% |
1 Qualified expenses include tuition and fees, books, supplies, room and board, etc.
2 No more than 6 preauthorized, automatic, or telephone transfers may be made from each account to another account or to a third party in any month.
3 Compounded and credited monthly using the daily balance method.
4 Compounded and credited monthly. If you elect to have dividends paid to you by check, or transferred to another account, compounding will not occur.
See complete account disclosures.
*Annual Percentage Yield
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