Bill > S2206

This bill establishes the Federal Child Savings Account Program, which will create a savings account for every eligible child under 18 years old residing in the United States. The program will automatically deposit $500 annually into each account, with the amount phased out for higher-income families. Eligible parents or guardians can also contribute up to $2,500 per year, with the government providing a dollar-for-dollar match of up to $250. The funds in the accounts can be used for qualified higher education expenses, transferred to a Roth IRA or ABLE account, or distributed to the account holder after age 18. The bill also ensures that the account balances are disregarded for the purposes of certain federal means-tested programs.