CT Baby Bonds is Connecticut's first-in-the-nation initiative to invest directly in children born into poverty. The program invests funds on behalf of each baby born in Connecticut whose birth was covered by Husky Health. Those funds will be held, managed and invested by the Office of the Treasurer to grow as the child grows.

ELIGIBILITY

There is no need to enroll or apply. Eligibility is automatic for children:

• Whose birth was covered by Husky Health, Connecticut's Medicaid program, and
• Were born on or after July 1, 2023

HOW IT WORKS

$3,200 will be invested on behalf of each Connecticut baby whose birth is covered by Husky Health. When a participating child reaches adulthood (between the ages of 18-30), they will be eligible to claim funds to be used for:

• Buying a home in Connecticut
• Starting or investing in a Connecticut business
• Paying for higher education or job training
• Saving for retirement

It is expected that the value of the initial investment will grow to between $11,000 - $24,000 depending on when claims are filed for approved uses. To be eligible to file a claim, participants must be Connecticut residents and complete a financial literacy course, providing a foundation of financial knowledge to guide their decision-making as young adults.

WHY WE NEED IT

CT Baby Bonds is designed to help combat systemic poverty and generate economic opportunity. Connecticut is one of the wealthiest states in the nation, yet features one of the most significant wealth gaps. CT Baby Bonds will help narrow that gap and level the playing field by giving young people access to capital at a time in their lives when they can begin to build individual wealth.

An estimated 15,000 – 16,000 children each year will be born eligible for the program, spanning all of Connecticut's 169 cities and towns. The result will be an influx of economic activity for local communities, generating tens of thousands of new potential homeowners, entrepreneurs, investors, and skilled workers. It will also be a tool to encourage young people to stay in Connecticut to pursue academic and economic opportunities.

CT Baby Bonds is a long-term investment directly in people, giving them access to resources that will allow them to shape their own future right here in Connecticut.

WHAT'S NEXT

Outreach, parent communication, and community support services will be developed and expanded as eligible children grow.

Parents of eligible children do not need to take any action to enroll or apply. Eligibility is automatic.

The Connecticut Baby Bonds Trust has already been funded with the full amount necessary to fund investments for 12 years of children.