HB284: HB284 Minors; creation of the Georgia Baby Bond Savings Plan

Georgia currently has no state savings program specifically for children. HB284 would create the Georgia Baby Bond Savings Plan, a new state trust fund and program under a board chaired by the Governor and run day-to-day by the state treasurer. Every Georgia resident born on or after July 1, 2025 would be automatically enrolled with a savings trust account, and children under 18 born before that date could apply to enroll. The General Assembly would be authorized, though not strictly required by outside funding, to seed each account with at least $250 (or $1,000 for children in families receiving benefits like Medicaid, TANF, or SNAP), plus annual contributions of at least $250 (or $500 for those families) until the child turns 18. Funds could be used for college, technical school, buying a home, or other approved long-term financial needs, and would not count as an asset when determining eligibility for need-based aid.

• Creates a new state body, the Georgia Baby Bond Savings Plan, run by a board chaired by the Governor with the state treasurer as administrative officer.
• Automatically enrolls every Georgia resident born on or after July 1, 2025 in a savings trust account, and lets younger children born earlier apply to join.
• Authorizes the General Assembly to make an initial deposit of at least $250 per child (or $1,000 for children in families on federal assistance like Medicaid or SNAP) plus similar annual deposits until age 18.
• Creates a Georgia Baby Bond Savings Plan Trust Fund in the state treasury, split into administrative, endowment, and program accounts, to hold and invest contributions.
• Exempts contributions to accounts from state taxation and excludes account funds from counting as assets when determining eligibility for need-based aid.
• Shields most account records, such as applications, account numbers, and transaction statements, from Georgia's open records law (O.C.G.A. § 50-18-70).

Georgia children born on or after July 1, 2025 and younger children who apply to join, along with their parents or guardians; the Governor, state treasurer, state auditor, and other state officials who would serve on the new governing board; and families receiving federal assistance programs like Medicaid or SNAP, who would qualify for larger contributions.

If enacted, most Georgia children would start life with a state-seeded savings account meant to grow until they turn 18, usable for college, a home, or other long-term financial goals. Families receiving federal assistance would receive larger deposits, and account funds would not count against eligibility for need-based aid.

• Section 39-7-3 creates the plan as a state instrumentality governed by a board chaired by the Governor, including the state auditor, budget director, revenue commissioner, three gubernatorial appointees, and the state treasurer.
• Section 39-7-4 makes contributions to savings trust accounts exempt from state taxation and ties maximum contributions to the federal 529 education savings limit.
• Section 39-7-5 establishes the Georgia Baby Bond Savings Plan Trust Fund in the state treasury, split into administrative, endowment, and program accounts, and states the funds are not state property.
• Section 39-7-7 gives the board authority to set a comprehensive investment plan and directs the state treasurer to invest trust fund money prudently.
• Section 39-7-9 specifies that account funds are not counted as an asset of the parent, guardian, or child for need-based aid eligibility purposes.
• Section 39-7-10 exempts most account records, such as applications, account numbers, and transaction statements, from Georgia's open records law.
• Section 39-7-11 sets eligibility: automatic enrollment for residents born on or after July 1, 2025, and an application option for younger children born earlier.
• Section 39-7-12 sets minimum initial contributions of $250 (or $1,000 for families on federal assistance) and minimum annual contributions of $250 (or $500) until age 18.

1. 2025-02-10House Second Readers (House)
2. 2025-02-06House First Readers (House)
3. 2025-02-05House Hopper (House)

• Kim Schofield (D, HD-063)Primary sponsor
• Carolyn Hugley (D, HD-141)
• Samuel Park (D, HD-107)
• Viola Davis (D, HD-087)
• Sandra Scott (D, HD-076)
• Bryce Berry (D, HD-056)

• child savings accounts
• baby bonds
• state treasury programs
• family financial assistance
• education savings