Education Savings Accounts
Education Savings Accounts (ESAs) offer the potential for tax-deferred growth and tax-free withdrawals1. ESAs can help pay for a wide range of qualified expenses. Money can be withdrawn tax-free as early as kindergarten to pay for qualified expenses like books, uniforms and school equipment. Plus, the individual who opens the account maintains direct control over the underlying investments. There is a yearly contribution limit of $2,000, and certain income limitations may apply. The flexibility of an ESA makes it a great choice for many people concerned about the rising costs of education.
1 Non-qualified withdrawals are subject to federal and state income tax and a 10 percent penalty. Contact your registered representative for more information. For more information about any of the First Investors funds or First Investors Life variable insurance products, you may obtain a free prospectus by contacting your registered representative, writing to the address below, or calling (800) 423-4026. You should consider the investment objectives, risks, charges and expenses carefully before investing. The prospectus, or in the case of a variable insurance product, both its contract and underlying fund prospectus, contains this and other information, and all applicable prospectuses should be read carefully before you invest or send money. An investment in one of these products is not a bank deposit and is not insured or guaranteed by the Federal Deposit Insurance Corporation (FDIC) or any other government agency. Life insurance and variable annuities are underwritten by First Investors Life Insurance Company, 110 Wall Street, New York, NY 10005, and distributed by First Investors Corporation.
