Individual Development Accounts = FREE MONEY!!

As part of my Finance class I am taking, we learned about the Utah Individual Development Accounts (UIDA). This is a savings account that you create.  For every dollar you deposit, they match $3.  So you deposit $10, they deposit $30....FREE MONEY!!!

Who is eligible?

1. You must live in UT
2. At least 18 years old
3. Currently earning income
4. Applicants cannot have more than $10,000 in net assets excluding one car and one house. (think of your H.S. or College age kids)

Income eligibility by family size:

1. $20,420
2. $27,380
3. $34,340
4. $41,300
5. $48,260
6. $55,220
7. $62,180
8. $69,140

Requirements?

• Monthly savings deposits of at least $15 and no more then $62.50
• Save in the program for a min. of 12 max of 36 months
• Attend personal finance and money management workshop series
• Participate in asset-specific training
• Regular contact with case manager

What does the money have to be used on? Any of these 3:

1. First home
2. Small Business
3. Education (College or Vocational)

For more info call 1-877-787-0727 or email info@uidan.org

These would be AWESOME for someone that is just turning 18!  Helps them save AND it gets them some coaching along the way.  Plus they can use it for college.

I crunched the numbers:

• If you deposit the max contribution of $62.50 per month, and you stay in the max amount of time (36 months) you will have deposited $2,250.

• The UIDA will match that $3/$1 for a total deposit from them of $6,750.

• Add those two together and that's $9,000 you would have in savings after 36 months! (3 years)

**These accounts are available in other states as well.  Google "Individual Development Account" and your state to find one near you.

(Thanks The Saved Quarter)