Reps. Derek Schmidt, Sharice Davids Take Kansas-Grown Children's Savings Initiative Nationwide

WASHINGTON, D.C. - A program now being implemented in Kansas to help families learn about savings and investment opportunities for their children could soon be expanded nationwide.

Today, U.S. Representatives Derek Schmidt (KS-02) and Sharice Davids (KS-03) introduced the bipartisan Born to Invest Act, legislation to help parents and legal guardians learn about tax-favored savings and investment accounts available for their children.

"Every child deserves the opportunity to build a strong financial foundation, and parents should have clear information about the tools available to help them do that," said Rep. Derek Schmidt. "The Born to Invest Act will help connect families with information about accounts that can help them save and invest for their children's future, while giving states a practical framework for making that information available from the beginning of a child's life."

Kansas recently enacted the Born to Invest Act at the state level, creating a framework for connecting families with information about Trump Accounts, 529 college savings plans, and ABLE accounts. The federal Born to Invest Act would build on this Kansas approach by creating a nationwide framework to help families access information about these savings tools.

The Born to Invest Act would require the Treasury Department, working with the Department of Health and Human Services, to create guidance for states on how to help parents and guardians learn about savings options for their children, including Trump accounts, ABLE accounts, and 529 college savings plans.

The legislation would also encourage coordination between state treasurers and state health departments regarding information on live births, helping state treasurers carry out efforts to share information about these savings and investment options with families.

"As someone who worked my way through college, I know how life-changing it is when a family can start saving early for a child's future," said Rep. Sharice Davids. "But right now, too many new parents miss out on savings programs simply because no one tells them that they exist. This bipartisan bill fixes that. By delivering clear, actionable information to parents the moment a child is born, Representative Schmidt and I are helping Kansas families build real financial security from day one."

"Some states have built new systems since the launch of Trump Accounts," Steven Johnson said, Kansas State Treasurer. "Kansas recently created a system for sharing information on all resources for families with children eligible for government early wealth-building resources, including Trump Accounts and the state's 529 program. Other states could follow this template."

"Kansas has been leading the way in connecting people with disabilities and their families to tools like ABLE accounts that help them save, invest, and build financial security," said Sara Hart Weir, Executive Director of the Kansas Council on Developmental Disabilities. "I'm thrilled to see Congressman Schmidt and Congresswoman Davids take this Kansas-grown idea national through the Born to Invest Act. For too long, Americans with disabilities have been told what they cannot earn, save, or own. This legislation helps change that trajectory from day one - ensuring children with disabilities are included in America's growing culture of saving, investing, and building wealth."

Trump Accounts are a new type of tax-preferred account designed to help families save and invest for their children's future. Eligible children born between 2025 and 2028 can receive a one-time $1,000 contribution from the U.S. Treasury, which is invested in the child's account. Parents, family members, employers, and other eligible contributors can also add money to the account, allowing it to grow as the child grows. Federal law sets specific rules for these accounts while a child is growing up, and the Treasury Department and IRS have provided guidance on how they can be established and managed.

The Born to Invest Act would build on these existing federal savings tools by helping ensure families receive information about available options.

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