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URL:  http://boards.fool.com/yes-the-ugma-acct-would-be-considered-the-20856761.aspx

Subject:  Re: UGMA/UTMA to Coverdell ESA? Date:  6/4/2004  1:15 PM
Author:  aroyalty7 Number:  72095 of 121061

Yes, the UGMA acct. would be considered the child's money. And the child can contribute to his own ESA. But an ESA has an annual contribution limit of $2,000 for a beneficiary from all sources. I generally prefer 529 plans.

Bill


Thanks, Bill. I generally prefer 529 plans, too, as the account owner maintains control of the account and there is no $2,000 contribution limit. However, 529 plans only fund "tuition, fees, room and board at qualified higher education institutions". My oldest son is 10. I was thinking about an ESA because we may send him to a private school for middle school (and possibly high school). The balance that we have saved for him in a UGMA account could help us pay for private middle school in 1-2 years.
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