Giving children born in the United States an automatic child trust account, a “Baby Bond,” would ensure that everyone is able to start adulthood with the financial stability to pursue their goals. Through Baby Bonds, a child would receive an initial specified amount of money into their own account upon their birth. Eligible children would also receive additional annual funding. These funds could then be withdrawn for a number of specified purposes later in life, generally as the child approaches adulthood, to provide the account holder with seed money to begin to fund their future.  

Baby Bonds would allow young people to have greater economic security as they move into adulthood by giving them the financial flexibility to start a business, go to college, get vocational training or even just have a savings cushion for unexpected expenses.  

At a time of rising inequality and declining social mobility, Baby Bonds would create economic opportunity and set people up on a trajectory to build wealth, improving not only their own economic outcomes but also strengthening the entire U.S. economy.