Invest in Success for Your Kids
Children are the future, and we want to help set them up for success. So what can you do? Helping your kids avoid financial missteps is easier than ever when you partner with Unity Catholic FCU.
Setting up a savings account for your kids will help ensure their financial future and teach them the importance of long-term savings and investments. Choosing the type of savings account will depend on your particular financial goals, each with advantages and disadvantages. Here are some options:
Student Saver Account - Our Student Saver Account is a more traditional savings option that allows students to make deposits into their account on designated days at participating schools. They can manage their savings independently and receive fun surprises for making regular deposits, reinforcing regular savings habits, and making saving more fun and interactive.
Coverdell ESA - Consider opening a Coverdell ESA to create a fund specifically designed to help your children pay for higher education. Funds from this account can be withdrawn anytime and are tax-free towards qualified educational expenses.
Roth IRA - You can also set up and manage a Roth IRA for your kids. Your child will need to earn qualified income, and contributions are limited to $6,500. This type of account offers tax-free withdrawals of contributions and earnings for qualified expenses like education. Funds allow for tax-free growth and can be an excellent way to teach your children about the power of long-term investing.
There are several things to consider when choosing an investment account for your child - your goals, flexibility and control, and intended use of the funds. It’s essential to consult with a financial advisor to help determine the best options based on your needs.