Posted on May 14, 2021
Today Governor Newsom proposed an investment of more than $2 billion in a statewide college savings account modeled after San Francisco’s Kindergarten to College Program (K2C). In 2011 when he was Mayor, Gavin and I launched K2C based on research showing that children with savings accounts will be up to seven times more likely to attend college than those without an account. Today, as a result of Newsom’s vision back in 2011, 46,000 public school students in San Francisco have K2C accounts, and have $8.6 million saved for college. I am beyond thrilled to see this program go statewide, and provide low income students with $500 to start saving for college.
About Kindergarten to College:
The idea behind Kindergarten to College is relatively simple: to help families start saving earlier and to save more, by removing barriers to opening an account and providing incentives to spur contributions. Every child entering kindergarten in the San Francisco Unified School District has a college savings account automatically opened for them with a $50 incentive from the City and County of San Francisco. Philanthropic and corporate foundations, community organizations, local businesses, and individuals have strengthened the appeal of the program by providing funds for additional deposits and matching incentives to encourage family savings and boost account balances.
Then Mayor Gavin Newsom and Treasurer José Cisneros created K2C in 2011 based on research that shows that children with savings accounts will be up to seven times more likely to attend college than those without an account. This is true regardless of the family’s income, race, or educational attainment. Savings has other positive effects on children and their parents. Specifically, savings is linked to increases in math scores among youth; a greater sense of financial inclusion; greater financial literacy and fiscal prudence; protection against economic shocks; better health and education outcomes; and, the development of a “future orientation.”
Today, 46,000 students in San Francisco have K2C accounts, and have saved $8.6 million for college.
May Revision Proposal:
