CalKIDS aims to make the dream of getting a college education a reality for every child in the State of California, especially those from traditionally underserved communities. To achieve this, CalKIDS will be helping families prepare financially and jumpstart their college savings by automatically establishing savings accounts for every baby born in the state and eligible low-income public school students enrolled in first through 12th grade.

Every eligible child will have a seed amount deposited in their CalKIDS account.

• For newborn participants, the seed deposit amount will be $25. Newborn participants will also be offered additional financial incentives to be deposited in their CalKIDS account, including $25 for registering on the CalKIDS Parent Portal to see their child’s account balance and $50 for linking an existing or new ScholarShare 529 college savings account to their CalKIDS account.
• For eligible public school students in first through 12th grade, as defined for purposes of the Local Control Funding Formula, the seed deposit amount will be $500. An additional $500 will be deposited in their CalKIDS account if they are also identified as foster youth and/or homeless students, for a maximum amount of $1,500.

Please note, program seed deposits and financial incentives are subject to change.

When the student is ready to utilize their savings to pay for any qualified higher education expense, they can simply redeem their funds, including any earnings, tax-free from their CalKIDS account and/or their own ScholarShare 529 account.

Stay tuned for complete terms and conditions, program launch date, and information about eligibility and the withdrawal of funds.

School-age eligibility includes all low-income students enrolled in a California public school who meet at least one of the Local Control Funding Formula (LCFF) eligibility criteria and are designated by the California Department of Education (CDE) as such. The CDE provides the Program with information on each eligible student. Students are automatically enrolled in the Program. In general, the LCFF includes students who are low-income or English learners. For more information on LCFF, please review bulleted criteria below and obtain guidance from your school or school district.

• Eligible to receive free or reduced-priced meals through the National School Lunch Program or have completed an alternative income form to receive free and reduced-price meal eligibility. Learn about Eligibility guidelines for the National School Lunch Program. Please also refer to the following information below from the California Department of Education for additional
  guidance:
  o National School Lunch Program Meal Application and Alternative Income Form Requirements for 2022-23.
  o 2021−22 Guidance for Using the National School Lunch Program Application Alternative Household Income Form to Collect Data Used for Funding Allocations and P- EBT Eligibility
  o Unduplicated Pupils and California Longitudinal Pupil Achievement Data System
• Receive benefits from CalFresh, CalWORKS, or Food Distribution Program on Indian Reservation (FDPIR).
• Is a migrant because they change schools during the year, often crossing school district and state lines, to follow work in agriculture, fishing, dairies, or the logging industry. Learn about migrant students.
• Participate in a state-recognized English learner program at their school designed to help students who do not speak, read, write or understand English well as a result of English not being their home language. Learn about English learner classifications.
• Considered by their school as a foster youth, or homeless.

Program participants must reside in California for at least one year before they can use the funds in their CalKIDS account to pay for qualified higher education expenses at an eligible institution of higher education.

Newborn babies and low-income public school students that are deemed eligible for a CalKIDS account will not be penalized for having an existing ScholarShare 529 college savings account. Therefore, parents and legal guardians are encouraged to start saving early by opening and contributing to a ScholarShare 529 college savings account. Getting started is quick and easy. To learn more about ScholarShare 529, click here.

CalKIDS is supported by state funds. Additionally, California law allows the ScholarShare Investment Board to accept private donations to support the program.

For more information about CalKIDS, contact the ScholarShare Investment Board at support@calkids.org or (888) 445-2377 between 8 am – 5 pm (PST) except for major holidays.

ScholarShare 529 is California’s state-sponsored 529 college savings plan. Administered by the ScholarShare Investment Board, an agency of the state of California and chaired by the State Treasurer, ScholarShare 529 has been helping California families of all income levels save for future higher education expenses since 1999. ScholarShare 529 offers a diverse set of low-cost investment options, tax-deferred growth, and withdrawals free from state and federal taxes when used for qualified higher education expenses, such as tuition and fees, books, certain room and board costs, computer equipment, and other required supplies.

ScholarShare 529 funds are also flexible and can be used at a wide variety of educational institutions, which include technical schools, community colleges, four-year public and private universities, graduate programs, and some institutions abroad. For more details about ScholarShare 529, click here.

For many families, the pursuit of a college education is often delayed or disrupted altogether due to concerns about the rising costs of tuition and student loan debt. This is especially true for low-income and first-generation students and their parents.

Research, however, shows that children with children’s savings accounts of up to $500 are three times more likely to enroll in college and nearly four times more likely to graduate than children with no savings. Therefore, by investing in our children and empowering their families to save and accumulate assets, CalKIDS aims to create a positive outlook and raise expectations that an educational pursuit, such as a college education, is possible.

For information about this and other research, please click here.

Please contact your county welfare department.

Yes, an eligible educational institution is defined by Section 529 of the Internal Revenue Code and includes postsecondary institutions that are eligible to participate in federal financial aid programs, which includes thousands of colleges, universities, and technical/vocational schools nationwide and even some abroad. For additional information, contact your school to determine if it qualifies as an eligible educational institution.

The SSID is a 10-digit ID. Sometimes,  SSID numbers appear on transcripts. If unsure, please contact your child’s school or school district for the number.

The Local Registration Number appears on your child’s birth certificate. See example below.

To the extent permissible under federal law, the CalKIDS award is owned by the State of California and as such should not count against your calculation of financial aid while the account is under the State of California’s control. Once the funds are paid out to the school of your choice, the financial aid office will coordinate the funds with your federal, state, and institutional financial aid. Please consult your financial aid office.

The CalKIDS Program does not require any taxpayer identification number to participate in the program.

Eligible Program participants have until age 26 to use all of the funds from their CalKIDS Account.

Congratulations on taking this next step. Please know that distributions from a CalKIDS Account will only be sent directly to the institution of higher education you are currently attending.  Distribution requests in good order will be processed and a check will be mailed to your institution of higher education. While your school may receive the money within 10-14 days, it may take them longer to process it. Please be sure check with your school.

CalKIDS accounts are not guaranteed by the ScholarShare Investment Board, the State of California, or TIAA-CREF. Due to market fluctuations, CalKIDS account balances may, at any time, including at the time of withdrawal, be worth less than the amount contributed by the ScholarShare Investment Board on behalf of students.

Amounts in a CalKIDS account that are distributed to an Eligible Institution on behalf of a student generally should be federal, state and local income tax-free to the student if such amounts are treated as qualified scholarships under Section 117 of the Internal Revenue Code. Section 117 generally treats as qualified scholarships amounts used for tuition and fees required for attendance at an Eligible Institution and for fees, books, supplies, and equipment required for courses of instruction at an Eligible Institution. If CalKIDS account funds are used for any other purpose, including room and board, such amounts may be taxable. This should not be construed as tax advice. Individual circumstances vary and students should consult with their tax advisor regarding the tax implications of a CalKIDS account.