SB 534: Georgia Baby Bond Savings Plan; provide for creation

Georgia currently has no state-run savings program that automatically sets aside money for children. This bill would add a new chapter to Title 39 of Georgia law creating the Georgia Baby Bond Savings Plan, run by a board chaired by the Governor and including the state auditor, budget director, revenue commissioner, three gubernatorial appointees, and the state treasurer as administrative officer. Every Georgia resident born on or after July 1, 2023 would automatically become a beneficiary with one savings trust account, and the plan would sit under the Department of Administrative Services for administration. The bill sets up a Georgia Baby Bond Savings Plan Trust Fund in the state treasury with administrative, endowment, and program accounts, and lets the board invest the money in stocks, bonds, and other instruments. The General Assembly would be authorized to make an initial contribution of at least $1,000 (or $2,000 for families receiving federal assistance like Medicaid or SNAP) when each account opens, plus at least $250 a year (or $1,000 for assisted families) until the beneficiary turns 18. Funds could be used for education, homeownership, retirement after age 59 and a half, or other board-approved qualified expenses, and account assets would not count against eligibility for need-based aid.

• Creates the Georgia Baby Bond Savings Plan as a state instrumentality governed 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, 2023 as a beneficiary of one savings trust account.
• Establishes the Georgia Baby Bond Savings Plan Trust Fund in the state treasury, divided into administrative, endowment, and program accounts, invested under a board-approved plan.
• Authorizes the General Assembly to make an initial deposit of at least $1,000 (or $2,000 for families on federal assistance) per account and annual contributions of at least $250 (or $1,000) until the beneficiary turns 18.
• Exempts contributions from state taxation and excludes account balances from counting as assets when determining eligibility for need-based aid programs.
• Shields most account records, such as applications and account numbers, from public disclosure under Georgia's open records law (O.C.G.A. § 50-18-70).

Georgia children born on or after July 1, 2023 and their families, the state treasurer's office and Department of Administrative Services, the newly created plan board (including the Governor, state auditor, and revenue commissioner), and financial organizations that may be hired to manage or invest the funds.

If enacted, thousands of Georgia children would gain a state-funded savings account they could use as adults for education, a home, retirement savings, or other approved expenses, with larger contributions for lower-income families. The plan depends on the General Assembly actually appropriating funds each year to make the contributions real.

• Code Section 39-7-3 creates the board of directors, chaired by the Governor, and assigns the plan to the Department of Administrative Services for administration.
• Code Section 39-7-4 requires savings trust agreements to set contribution limits tied to federal Section 529 education savings account rules and exempts contributions from state taxes.
• Code Section 39-7-5 establishes the trust fund with administrative, endowment, and program accounts, and states the fund's assets are not state property and cannot be used for other state purposes.
• Code Section 39-7-7 gives the board authority to invest trust fund money through the state treasurer using a prudent-person standard, with investments selected through competitive solicitation.
• Code Section 39-7-9 excludes savings trust account funds from being counted as an asset when determining eligibility for need-based aid programs.
• Code Section 39-7-10 exempts most account records, such as applications, account numbers, and transfer instructions, from Georgia's open records law.
• Code Section 39-7-11 automatically enrolls Georgia residents born on or after July 1, 2023 as beneficiaries, limited to one account each.
• Code Section 39-7-12 authorizes the General Assembly to fund each account with a minimum $1,000 initial contribution ($2,000 for families on federal assistance) and minimum $250 annual contributions ($1,000 for assisted families) until age 18.

1. 2026-02-19Senate Read and Referred (Senate)
2. 2026-02-18Senate Hopper (Senate)

• Nikki Merritt (D, SD-009)Primary sponsor
• Nabilah Islam Parkes (D, SD-007)
• Kim Jackson (D, SD-041)
• RaShaun Kemp (D, SD-038)
• Harold Jones (D, SD-022)
• Kenya Wicks (D, SD-034)
• Freddie Sims (D, SD-012)
• Josh McLaurin (D, SD-014)

• child savings accounts
• state treasury investments
• education savings
• poverty and family assistance
• government benefits