There's also 529 accounts for education/vocational training programs. Each state runs their own program. Some will exempt contributions from state income tax. I think the big brokerages all use Nevada for their 529 accounts. Gains are tax free if used for qualifying educational expenses. Non-qualifying withdrawals incur something like a 15% penalty and are taxable. The definition of qualifying expenses is fairly liberal though, things like rent and laptop purchases qualify if attending school full time. Unused funds can be transferred to just about any relative.