Kenny Hulshof: “Under existing law that the President signed last June, here is who can contribute into a Coverdell education account.…”

“Under existing law that the President signed last June, here is who can contribute into a Coverdell education account. By the way, this is mirrored on the premise of the Roth IRA; that is, that one contributes monies into a savings account and then the interest that builds up, the power of compound interest, as Einstein talked about, as that interest builds up, it is tax-free if used in a Roth IRA, for instance, for retirement expenses and in the Coverdell account for education expenses. Here is who can contribute to an education account: anyone. Parents, teachers, mentors, small business owners, corporations, charities, foundations, labor unions, concerned citizens, church groups, anybody can designate funds to go into an education account for any child. Now, I would say to the gentleman, in fact, this is new resources, incentives that would not be committed to education but for the fact that we put them in the Tax Code and provide this tax incentive. This year alone, this year alone, 3.5 billion more private dollars are being allocated specifically to educating our kids just this year.”