Congressional Democrats on Thursday once again introduced a bill to establish $1,000 “baby bonds” for newborn Americans.
“Under the bill, which is being led by Sen. Cory Booker (D-N. J.) and Rep. Ayanna Pressley (D-Mass.), anyone born after Dec. 31, 2021, have a government-run ‘American Opportunity Account’ with $1,000 set up for them when they’re born,” Forbes reported.
The accounts will accrue about three percent interest and the government would deposit up to $2,000 in those accounts every year until the person turns 18.
“The amount deposited depends on the household’s income level, and families will not receive any additional funds if they make more than 500% of the poverty line, which, in 2020, would be approximately $131,000 for a family of four,” the article continued.
Individuals could begin taking money from their account when they turn 18 so they could spend it on things such as college, a down payment on a home, or starting a small business, according to Fox Business:
The measure — which floundered in the last Congress with just one co-sponsor in the Senate — has garnered 15 Senate co-sponsors so far, including Majority Leader Chuck Schumer as well as Sens. Elizabeth Warren, D-Mass., Amy Klobuchar, D-Minn., and Bernie Sanders, I-Vt. Democrats have a monopoly on power in Washington for the first time in more than a decade, although it’s unclear where the Biden administration stands … (Read more)
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