The children’s savings account (CSA) movement continues to grow across the country with a developing research base pointing to increased rates of postsecondary enrollment for low-income students. CSAs can be a valuable tool for increasing postsecondary success, especially by encouraging students to develop a college-going mindset during elementary and middle school.

CSAs are an innovation that emerged in the early 2000s from the larger “asset-building” movement, which is grounded in the premise that the acquisition of assets such as savings accounts by low-income families is fundamental to economic success and mobility in a market economy.

As of 2023, an estimated 5.8 million US children and youth had access to CSAs through one or more of 121 state or local CSA initiatives. CSA programs range in size from small, community-based programs to large-scale programs that enroll all children in a particular city or state.

CSAs are also sometimes referred to as or associated with college savings accounts, child development accounts, or early award scholarship programs.

What Is a Child Savings Account?

CSAs are long-term savings or investment accounts that help children and their families, especially those from low-income backgrounds, build savings for the future. Account funds are restricted until children reach adulthood, and savings are usually used to pay for postsecondary education, though some programs allow other asset purchases, such as a home or a small business. The goal of most CSA programs is to build a college-going identity in children, provide some of the financial means to pursue postsecondary education, and increase enrollment in and completion of postsecondary education. To ensure that CSAs reach students who need them most, programs should feature automatic (rather than opt-in) enrollment and larger seed deposits for the accounts of lower-income students.

The largest CSA program by far is CalKIDS, launched in California in 2022. Other examples include the Alfond Grant (Maine), NYC Rise, and Boston Saves.

How Effective Are CSAs?

Survey data analysis in 2013 by Dr. William Elliott of the University of Michigan indicated that children from low-income backgrounds with $500 or less in a savings account dedicated to college are three times more likely to go to college and four times more likely to graduate than their peers without dedicated savings. Since that foundational work, research on CSAs in action has confirmed a positive effect on postsecondary preparation or attendance by low-income students. For example:

• A 2025 evaluation of San Francisco’s Kindergarten to College Program found that the college enrollment gap for underrepresented students decreased by nearly 30% relative to the comparison group.
• Research from 2024 on the Imagine Early Program (Wabash County, IN) found that it strengthened the college-going identity of students.

The National College Attainment Network (NCAN) will continue to report on CSA policy, practice, and outcomes as more young people across the country with CSAs reach high school graduation and decide whether and how to continue their education.

Learn More:

• How Will “Trump Accounts” Fit into the Landscape of Early College Savings Programs?
• New Study: College Savings Accounts Closed Enrollment Gaps by One-Third
• The Expanding Impact of Children's Savings Accounts
• CalKIDS Program Tackles Racial Wealth Gap While Helping Make College Affordable
• CalKIDS: Helping Students Access and Attain Higher Ed
• New Research Offers Roadmap for How Child Savings Accounts Can Support Black and Latine Students
• The ABCs of CSAs – Design Elements and State Treasurer Takeaways

NCAN thanks the Charles Stewart Mott Foundation for supporting this work to increase awareness and use of CSAs in the postsecondary attainment field.