For the nearby town named Kingston, see Kingston (town), New York. Kingston /ËkÉªÅstÉn/ is a city in and the county seat of Ulster County, New York, United States. It is 91 miles (146 km) north of New York City and 59 miles (95 km) south of Albany.
The $500 contribution you make is not tax-deductible but, like the Roth IRA, you can withdraw it tax-free for your child's college education. (As a matter of fact, it can be transferred to another family member if the one for whom it's intended doesn't use it.he $500 maximum that you could invest yearly in an Education IRA is in addition to that $2,000. (As of this writing, there is a movement afoot to get that $500 per year limit raised to $2,000 per year. However, right now that raised limit is but a gleam in the eye of brokers and lobbyists.).
Funding a New IRA. Your adult child can use the money you give her from your IRA withdrawal to fund her own IRA up to the limits prescribed by law, provided she has earned income for the year that is equal to the amount of your gift. You can't transfer, or roll over, assets from your IRA into an IRA for your child. For example, if your adult child earned $30,000 for the tax year, but spent all of that money for living expenses, you can withdraw $5,000 from your IRA and give it to her.