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Massachusetts is considering trust funds, aimed at reducing the racial wealth gap, for the state's poorest newborns that the recipients would be able to access when they turn 18.
The "baby bonds" would be an at-birth publicly funded trust fund program for Massachusetts residents, to be used for college, buying a home or starting a business. The amount given to each eligible newborn would depend on their household income, although it doesn't give a maximum amount or specify who would qualify for the funds.
"Children born into households with low income (which are disproportionately households of color) are prioritized through eligibility requirements set by the state or through a progressive allocation system, with those with the lowest income receiving the largest investments," the Massachusetts state government says on its website. "This is to provide the most support to children born with the least resources, and to shrink the racial wealth gap."