Children & Young Adults
Children's Savings Accounts
Children’s Savings Accounts (CSAs), also called Children’s Development Accounts, are a proposed legislative policy to create tax-favored investment accounts for children. CSAs help ensure that all children have the opportunity for lifelong learning and asset building by providing youth and their families with the tools and incentives to accumulate savings. CSAs can enhance children’s aspirations and parents’ expectations for the future and promote long‐term regular savings habits among parents and their children.
CSAs could be designed in a variety of ways, such as universal accounts opened at birth or modified versions of existing savings products and progressive incentive structures for low – mod income families. Furthermore, some CSA models offer additional benefits to children from low‐income families, countering the negative impact of poverty on a child’s future achievement. Bipartisan legislation supporting the creation of a nationwide CSA program has been previously introduced in Congress and several states have developed CSA pilot programs or introduced legislation to establish statewide CSA programs.
CSAs could be designed in a variety of ways, such as universal accounts opened at birth or modified versions of existing savings products and progressive incentive structures for low – mod income families. Furthermore, some CSA models offer additional benefits to children from low‐income families, countering the negative impact of poverty on a child’s future achievement. Bipartisan legislation supporting the creation of a nationwide CSA program has been previously introduced in Congress and several states have developed CSA pilot programs or introduced legislation to establish statewide CSA programs.
Resources:
State Policy Developments: An Update from SEED
Description: This monthly update from CFED provides the latest information on children's savings and other related asset-building state policy developments around the country.
CSD Research on Maine's NextGen College Investing Plan
Description: In 1999, Maine implemented an innovative matching grant program, the NextGen College Investing Plan. NextGen was designed to increase participation and savings among low- to moderate-income families in the state's 529 College Savings Plan. Using in-depth interviews and telephone surveys, this CSD project investigated which participants benefited from the unique features of the NextGen program and whether the program's unique design helped participants to save.
American Dream Policy Demonstration (ADD)
Description: This website contains the Center for Social Development's reserach and evaluations on the American Dream Policy Demonstration (ADD), which was the first systematic study of IDAs.
SEED for Oklahoma Kids
Description: SEED for Oklahoma Kids (SEED OK) is a state-wide experimental test of CSAs in Oklahoma. SEED OK is among the most important policy tests in the United States to study impacts of CSAs on saving for college, family attitudes and behaviors, and outcomes for children. The Center for Social Development's SEED OK research aims to understand: (1) How much families save for their children’s education; (2) The impacts of SEED OK on parents’ expectations and behavior; and (3) How much difference SEED OK will make in child development and educational achievement.
SEED Policy & State Practice Initiative: State Policy Resources
Description: CFED has several policy resources and papers for advocates interested in CSAs and other asset building initiatives for children.
I Can Save research
Description: I Can Save tests the effects of financial education and matched college savings on low-income elementary school students at one of the SEED National Initiative sites. The study focuses on how financial education and saving affect student's financial literacy, academic engagement, and plans for college. Research in I Can Save is a joint effort of CSD and University of Missouri-St. Louis.
SEED Policy & State Practice Initiative: State Policy Developments
Description: This CFED webpage has updates on state proposals for matched 529 programs, universal CSA proposals, and CSA task forces.
CSD's Inclusion in College Savings Plans research
Description: Since 2001, CSD has been researching 529 college savings plans and policy innovations, with the goal of establishing inclusive asset-building policies. The Inclusion in College Savings Plans research explores how public oversight and outreach, centralized accounting, low deposit minimums, and matching incentives can be building blocks for a more inclusive saving policy.
Incentives for College Savings: State Policy Ratings
Description: This page has CFED's ratings of state policies that promote incentives for college savings.
Related Topics:
Child Care
When employment opportunities arise for low-income parents, reliable and affordable child care is an essential support if they are to obtain and hold such jobs. Stable and affordable child care helps these low-income parents retain steady employment and reduces workplace absenteeism. Unfortunately, many families are not able to afford such child care without child care subsidies. Thus, asset building policy agendas often include expanding access to child care subsidies and services for low to moderate income families.
Resources:
Center for Law and Social Policy (CLASP)
Description: CLASP's child care and early education website contains policy analysis, research, and technical assistance on expanding access to high-quality, comprehensive child care and early education. CLASP's child care and early education work highlights state-by-state data where available.
National Child Care Information and Technical Assistance Center (NCCIC)
Description: A service of the U.S. Department of Health and Human Service's Child Care Bureau, NCCIC is a national clearinghouse and technical assistance (TA) center that provides comprehensive child care information resources and TA services to Child Care and Development Fund Administrators and other key stakeholders.
National Association of Child Care Resource & Referral Agencies (NACCRRA)
Description: NACCRRA works with more than 700 state and local Child Care Resource and Referral agencies nationwide, leads projects that increase the quality and availability of child care professionals, and advocates child care policies that positively impact the lives of children and families. The NACCRRA website has updated legislation, research, and data related to child care.
