Developing a plan to save for your child’s college education can be an overwhelming and complicated task. Our Financial Services Team can help you create and manage a savings plan designed to meet the ever-increasing costs of higher education.
Some of our education savings plan options include:
These plans allow contributions to an account established to pay 'qualified higher education expenses.' Contributions are not tax deductible, but growth is tax-deferred and you can invest as little as $25 per month.*
*A plan sponsored by your home state may provide state tax advantages. Please consult your tax advisor.
Coverdell Education Savings Account
Formerly known as the Education IRA, the Coverdell Education Savings Account allows you to invest $2,000 per beneficiary, per year. Contributions are not tax-deductible, but growth is tax-deferred. Distributions are excluded from income if used for qualified education expenses including elementary, secondary, and college tuition costs. Some restrictions apply, so please contact our Financial Services Team for more details.
UTMA (Uniform Transfers to Minor Act)
The UTMA allows you to establish a custodial account to save for college expenses. As the custodian of the account, you can control the investments while the minor maintains “account owner” status. Once reaching the age of maturity, the minor assumes control over the account.
Bar Harbor Financial Services is a branch office of Infinex Investments, Inc., an independent registered broker-dealer offering securities and insurance products which is not affiliated with Bar Harbor Bank & Trust.
|Not a Deposit||Not FDIC Insured||Not Insured by Any Federal Government Agency||Not Guaranteed by the Bank||May Lose Value|