Goldberg Launches BabySteps Savings Plan, Providing $50 for Every Baby’s Future Education

Massachusetts Treasurer Deborah Goldberg. (Sam Doran/SHNS.)

Every child born or adopted in Massachusetts is now eligible receive a $50 down payment on their future education—at no cost to taxpayers.

State Treasurer Deborah Goldberg said this week the BabySteps Savings Plan has been launched with private donations. This program guarantees each baby receives a $50 seed deposit when a family member opens up a U.Fund 529 college or vocational savings account through the Massachusetts Educational Financing Authority.

“With the rising cost of post-secondary education, the path forward is unclear for many of our kids,” said Goldberg. “Babysteps will encourage thoughtful planning for higher education and vocational training for children across Massachusetts.”

This program builds upon Goldberg’s two pilot programs- SeedMA and SoarMA, in economically and diverse areas of the state. Using best practices from the pilot program puts BabySteps Savings Plan in position to provide families with a seamless sign-up process. Parents simply need to check the box on the birth certificate form they receive in the hospital to start the enrollment process, or they can visit BabyStepsSavingsPlan.org to learn more about the program and get started.

All new parents/guardians in Massachusetts have one year after the child is born or adopted to open a U.Fund 529 college savings account in order to receive the $50 deposit. The deposit will be transferred directly into the child’s U.Fund  account offered by the state and financed by the Massachusetts State Treasurer’s Economic Empowerment Trust Fund with support from private donors.

One of the program’s founding investors, Bob Hildreth, the founder of Inversant, has committed to provide the seed deposit for each of the first 6,000 children to join the program.

“Seeing the impact, a college education can have on students who grew up in poverty inspired me to seed fund the BabySteps program,” said Hildreth, who is also the founder of the Hildreth Institute. “This initial deposit is not just my commitment to making college more accessible for Massachusetts students. It's also a challenge to foundations and philanthropists: Join me in pledging additional resources and motivating families to open savings accounts and save for their children's future!”

The BabySteps Savings Plan will also provide free financial education services to all families in the Commonwealth. For more information on the BabySteps Saving Plan, visit BabyStepsSavingsPlan.org.

Comments are closed.