California has announced CalKIDS, a program designed to give newborn children a head start on saving for their future Education. Under the CalKIDS program, all children will receive a seed deposit in a CalKIDS account, which parents will use to help pay for college or career training after high school. Seed deposits will be up to 1,500 per child. Gov. Gavin Newsom announced the program as another pillar of the historic budget increase for California Education.
Only low-income families from grades 1-12 will qualify for the program, but it is hoped that the CalKIDS accounts will help close the gap between those who can afford college and those who cannot. California is committed to providing all its citizens the opportunity to pursue their dreams, and CalKIDS is just one more way to fulfill that commitment.
The program is designed to give kids a way to think about college who may otherwise not have had the option, primarily because of the pandemic-related issues. Newborns will also receive up to $100 to save for their future.
How Will CalKIDS Be Managed?
Accounts will be made automatically for children born on or after July 1st, 2022, in California and eligible. Parents may opt-out of the program by filling out a request form on CalKids.org. However, parents who opt out cannot re-enroll, but parents can still make a separate 529 college savings account.
The funds added into this account are only for school-related purchases, and only the institution handling them will have access to the money. Students can rest easy knowing their money is being handled carefully and responsibly. Students will also have extra funds thanks to generous donations by Mayor Libby Schaaf, Vice President Kamala Harris, and the corporate companies and individuals involved in the donations.
Gavin Newsom quotes, “Education is the gateway to opportunity for all California kids. Once a mind is stretched, it can never go back.”
Student Hires Programs
Student Hires hands-on experiential K-12 expanded learning programs led by college students that increase the career readiness of disadvantaged youth in our community. Our programs help low-income families who often lack the resources and support to succeed in school and eventually enter the workforce.
Our programs allow these students to gain valuable work experience, earn an income, and develop the skills and habits essential for success in the workplace. We also work with schools to help students, so they don’t become chronically absent. As a result, Student Hires programs are an essential step in ensuring that all young people have the opportunity to reach their full potential.
The CalKIDS program is a welcome addition to the array of higher education savings options available to California families. It offers an attractive and straightforward way for parents to save for their children’s college educations with matching funds from the state government. Parents interested in taking advantage of this program should start saving as soon as possible since they can create a separate account alongside government funds. And remember, it’s never too early (or late) to start planning for your child’s future!