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New lifelong learning savings accounts and tax credits.

This act renames education savings accounts to lifelong learning accounts, allowing citizens to use funds for a broader range of skill development and training. It also introduces new tax benefits for employers contributing to employee education.
Key points
Coverdell Education Savings Accounts are renamed to Coverdell Lifelong Learning Accounts.
Funds can now be used for a wider range of qualified educational or skill development expenses, including vocational training, skill development courses, transportation, certification tests, computer equipment, and internet access.
The age limit for contributions is extended to 70, and individuals over 30 can contribute up to $4,000 annually, with a $10,000 account balance limit after age 30.
Employers can receive a 25% tax credit for non-elective contributions to their employees' lifelong learning accounts.
Individuals over 18 can deduct contributions made to their own lifelong learning accounts.
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Additional Information
Print number: 117_S_131
Sponsor: Sen. Klobuchar, Amy [D-MN]
Process start date: 2021-01-28
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Summarized by: gemini-2.5-flash-preview-05-20
Source data: api.congress.gov
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OFFICIAL LEGAL TITLE

Skills Investment Act of 2021

FREQUENTLY ASKED QUESTIONS

What is the official ID of this bill?

The official print number for this legislation is 117_S_131.

Which chamber initiated this legislation?

This legislation was initiated in the Senate.

When did the legislative process begin?

The process officially started on 2021-01-28.

What are the main provisions?

Key points include:

  • Coverdell Education Savings Accounts are renamed to Coverdell Lifelong Learning Accounts.
  • Funds can now be used for a wider range of qualified educational or skill development expenses, including vocational training, skill development courses, transportation, certification tests, computer equipment, and internet access.
  • The age limit for contributions is extended to 70, and individuals over 30 can contribute up to $4,000 annually, with a $10,000 account balance limit after age 30.
  • Employers can receive a 25% tax credit for non-elective contributions to their employees' lifelong learning accounts.
  • Individuals over 18 can deduct contributions made to their own lifelong learning accounts.
What is the specific legal status?

The current status is Expired.

Where can I read the full text of this legislation?

The full official text is available at: View full text

Who is the primary sponsor?

The primary sponsor is Sen. Klobuchar, Amy [D-MN].

What is the latest detailed status?

The latest detailed status is: Introduced in Senate

Is this summary verified?

Yes. This content was analyzed by AI and verified by the Lustra Judge System on 2025-12-29.

CATEGORIES

Education Taxes Labor