Final answer:
Anyone can contribute to a Coverdell Education Savings Account (ESA) including parents, grandparents, or strangers, subject to income limitations and contribution limits.
Step-by-step explanation:
The question refers to who can contribute to a Coverdell Education Savings Account (ESA), which is a tax-advantaged account designed to help parents and students save for education expenses. According to the IRS rules, anyone can contribute to a Coverdell ESA, provided that the contributor's modified adjusted gross income falls below certain levels. Therefore, the correct answer is 4) All of the above. This means a parent, grandparent, or even a complete stranger, can make contributions to an individual's Coverdell ESA. However, there are contribution limits and the beneficiary must be under age 18 or a special needs beneficiary when the contribution is made.
The contribution to the ESA (Coverdell Education Savings Account) Plan can be made by parent, grandparent, or any person who is related to the student, which includes relatives by blood, marriage, or adoption. A complete stranger cannot contribute to the ESA Plan.