HB 356 Summary

• Establishes an Individual Development Account Program in the Department of Human Resources for individuals with household income at or below 80% of state median or 200% of federal poverty guidelines, whichever is greater.

• Eligible individuals enter agreements with fiduciary organizations (nonprofits, credit unions, community development financial institutions) to establish accounts with required financial literacy education, counseling, and training components.

• Account holders can deposit up to $2,000 from earned income and receive matching funds for qualified purposes including postsecondary education, home purchase, business capitalization, automobile purchase, and assistive technology.

• Emergency withdrawals are permitted with 12-month reimbursement requirement; non-emergency withdrawals for unqualified purposes result in program removal.

• Account deposits and matching funds excluded from gross income for tax purposes and do not affect eligibility for means-tested public benefits including Medicaid, TANF, and food assistance programs.