Bill proposes $50 college savings deposit for Illinois newborns
A new bill aimed at giving newborn babies money to start college savings accounts passed the Illinois House on Wednesday.
proposes an automatic $50 deposit into a college savings account for every child born or adopted in Illinois by January 2021.
The money would come from a Higher Education Savings Program. State officials estimate the plan would cost around $8 million a year to fund and up to an additional $1.5 million in administrative costs.
Some opponents believe the bill is a publicity stunt for sponsors, while sponsors hope the bill gets families thinking about college early.
If the student chooses not to attend college, he or she would forfeit the money. Under the proposal, this money would be used to pay for other children in the future.