The Los Angeles County Board of Supervisors today approved a motion authored by Supervisor Kathryn Barger to help current foster youth access newly established federally backed “Fostering the Future Accounts,” a first-of-its-kind investment program designed to build long-term financial security for eligible children.
“Foster youth deserve the chance to benefit from every financial resource available to help them succeed,” said Supervisor Kathryn Barger. “These new investment accounts have the potential to change lives, but only if eligible young people, their foster families, and social workers know they exist and receive the support needed to access them. We have a responsibility to ensure foster youth don’t miss opportunities that can help them pursue build savings and achieve greater financial independence.”
The new federal program establishes tax-advantaged investment accounts for eligible U.S. citizen children born between January 1, 2025, and December 31, 2028, including eligible foster youth.
Each qualifying child receives an initial $1,000 federal contribution that, based on historical market performance, could grow to approximately $6,000 by age 18. Once they reach adulthood, the funds may be used for qualified expenses such as higher education, purchasing a first home, or retirement savings.
Supervisor Barger’s motion directs the Los Angeles County Department of Children and Family Services (DCFS) to return within 90 days with a plan to educate staff about available state and federal financial accounts for foster youth, conduct outreach to eligible foster youth and resource families through 2028, assist families with enrollment and Social Security card applications, evaluate any potential impacts on public benefit eligibility, and coordinate with state and federal partners to maximize participation in the program.
Recognizing that a valid Social Security number is required to participate, the motion also builds on Los Angeles County’s previous efforts to ensure foster youth receive essential identifying documents before leaving care.
The motion further directs the County’s Legislative and Intergovernmental Relations office to work with DCFS and statewide partners to advocate for guidance from the California Department of Social Services so counties across California can begin implementing the program as quickly and consistently as possible.
Supervisor Barger’s motion passed 3-0-2, with two abstentions cast by Supervisors Hilda L. Solis and Lindsey P. Horvath.