Where can I establish a catastrophe savings account?
Catastrophe savings accounts can be established at a state or federally chartered bank. The account must be kept separate from all other accounts (e.g., checking or savings accounts, IRAs, medical care savings accounts, and so on). It must be maintained specifically for the purpose of qualified catastrophe expenses incurred by the account holder.

The account holder, not the financial institution, is required to maintain documentation to verify that the withdrawals from the catastrophe savings account were used exclusively for qualified catastrophe expenses.

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1. Why open a catastrophe savings account?
2. What are qualified catastrophe expenses?
3. What are the requirements of a catastrophe savings account?
4. Who can contribute to a catastrophe savings account?
5. Where can I establish a catastrophe savings account?
6. Can I invest my catastrophe savings account in stocks and bonds?
7. How much can be deposited in a catastrophe savings account?
8. How do I report contributions to a catastrophe savings account on my South Carolina income tax return?
9. How much will I save on state income taxes?
10. Can I transfer money from my regular savings account into a catastrophe savings account?
11. How are interest earnings from my catastrophe savings account reported on my tax returns?
12. What records do I need to keep regarding withdrawals from my catastrophe savings account to pay for qualified catastrophe expenses?
13. What if I withdraw the money in my account for purposes other than qualified catastrophe expenses?