Firstrade Press Coverage
Find out everything that is going on at Firstrade through our Press Center:
- October 13, 2015 - Firstrade A Sponsor of the October 18th Making Strides Against Breast Cancer Walk at Central Park
- March 31, 2015 - Stockbrokers.com Gives Firstrade Four-and-a-Half Stars for Ease of Use
- March 06, 2015 - Firstrade Enables On-The-Go Trading and Research with New Mobile App
- August 15, 2014 - Firstrade Securities Inc. Celebrates Branch Grand Opening in Queens, NY
- October 02, 2013 - Online Broker Firstrade Introducing New Research & Tools
- February 28, 2013 - Firstrade phases out its old site in favor of a new, upgraded platform
- May 31, 2012 - Apex Clearing Corporation becomes Firstrade's new clearing firm
- December 14, 2011- Firstrade Launches Upgraded Option Chain for Advanced Strategies
- August 9, 2011 - Experts @Firstrade Suggest Caution and Common Sense When Reviewing Investing Information on Social Media Sites
- June 20, 2011 - More Than Just College Tuition: Save for Education With a Coverdell ESA
- February 7, 2011 - Firstrade's No-Fee IRAs Empower Self-Directed Investors
- December 20, 2010 - Firstrade Launches New iPhone App for iOS Devices.
- October 21, 2010 - Firstrade Launches New Online Trading Platform With iPhone App and Social Media Integration.
- June 12, 2010 - The American Cancer Society and Firstrade Securities team up once again for the annual Relay For Life cancer fund-raising event.
- December 7, 2009 - Firstrade Survey: Most Frequent Online Forum Participants are Male, Under 40 and 22% are International.
- February 5, 2009 - GainsKeeper Helps Firstrade Meet Customers' Tax-Lot Accounting Needs and Prepare for Cost Basis Reporting Law
- November 26, 2008 - Firstrade Offers Free iPods to Post Thanksgiving Account Openers
- August 13, 2008 - Firstrade Introduces Distinctive Wire Transfer Fee Rebate
NEW YORK, NY - (Jun 20, 2011) - Most people associate the concept of saving for education with the high cost of college tuition -- and many choose to save by investing in a 529 plan. Although 529 plans are a useful tool for college savings, American families could also benefit from investing in a Coverdell Education Savings Account (ESA), which helps pay for costs related to elementary and secondary education, according to financial experts at Firstrade, www.firstrade.com, a leading online brokerage.
According to a report1 released by the U.S. Department of Agriculture on June 13, 2011, the cost of raising a child from birth (in 2010) to age 18 has increased to over $285,000 (accounting for estimated inflation). Education represents 17 percent of child-rearing expenses and is the second-fastest growing cost behind healthcare, the report shows.
A Coverdell ESA, formerly known as an Education IRA, allows investors to save up to $2,000 per child per year to help pay for the cost of elementary, high school, or higher education for each designated beneficiary. Qualified expenses for elementary and high school include books, tutoring, uniforms, extended care programs and even internet access.
"As the cost of educating a child increases and as more school districts pass along extracurricular fees to families, having an investment-based, tax-free source of income for these expenses becomes more important," said John Liu, President and CEO of Firstrade. "The greatest benefit of having a Firstrade ESA versus a typical CD or savings account is that the investment can be managed directly by the account holder, and the return on investment can be far greater as a result."
Following are some basic rules regarding contributions to a Coverdell ESA:
- Contributions of up to $2,000 in total can be made per child/beneficiary under the age of 18, regardless of the number of established accounts.
- Contributions are non-deductible, but accounts grow tax-free and up to $2,000 per year can be withdrawn tax-free if used for qualified expenses for each beneficiary.
- Accounts are limited to individuals or families whose modified adjusted gross income (MAGI) is less than $110,000 (or $220,000 if filing a joint return).
- There is no limit to the number of ESAs that can be established for one child as long as the total contributions do not exceed $2,000 per year/per beneficiary.
- If more then $2,000 is contributed in total, then the excess is subject to a 6-percent excise tax penalty.
- Only cash can be contributed to a Coverdell ESA and the contributions must stop after the individual turns 18, unless he/she is a special needs beneficiary.
- The deadline to open and fund a Coverdell ESA is April 15th for any tax year.
- Higher Education:
- Tuition and fees
- Books, supplies, and equipment
- Expenses for special needs services
- Expenses for room and board by students who are enrolled at least part-time
- Qualified Elementary and Secondary Education Expenses:
- Tuition and fees
- Books, supplies, and equipment
- Academic tutoring
- Special needs services beneficiary
- Room and board
- Supplementary items and services (including extended day programs)
- Computer technology, equipment, Internet access and related services
A Coverdell ESA can be used to pay for the following qualified expenses:
It's never too early to think about college, especially with skyrocketing tuitions and fees. Help manage your costs by opening a Coverdell Education Savings account now.
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