The Individual Development Account (IDA) program is a matched savings program focusing on financial stability that assists qualifying participants in acquiring a lasting asset-a first-time home, college education or start or expand a small business. The IDA program is part of Assets for Independence, a federal program administered by the Office of Community Services of the U.S. Department of Health & Human Services. United Way of Central Alabama serves as an administrator for the IDA program and partners with United Way of West Alabama to bring the program to West Alabama residents.
It's easy... A special U.S. government savings program allows you to have up to $500 of earned income savings when using the IDA for college related expenses and up to $2,000 of earned income savings when using the IDA towards the purchase of a home or to start or expand a small business. Your earned income savings is matched with $4,000 for your final IDA account total of either $4,500 (i.e. education related) or $6,000 (i.e. home purchase or small business related) that can be used to help achieve your financial goals. By enrolling in the Individual Development Account program, you will learn the benefits of saving, receive financial education and credit counseling, become eligible for free income tax preparation assistance and have the opportunity to develop smart financial habits that will benefit you for the rest of your life.
Opening an Individual Development Account is easy. Once you complete the Intake Survey and the Application Form and submit online, you will be contacted by an Individual Development Account representative to guide you through the process. They will work closely with you, answer all of your questions and help you learn financial responsibility so that you can watch your assets grow.
To be eligible for the IDA program, individuals must have:
Persons in Family
Up to $22,980
Up to $31,020
Up to $39,060
Up to $47,100
Up to $55,140
Up to $63,180
Up to $71,220
Up to $79,260
Representatives will guide you through the process and serve as your personal contact throughout the program. You will begin making monthly deposits (minimum of $25 per month) into an IDA - a free savings account with no fees-and participate in financial training classes - offered at no cost. As your savings grow and are matched, you get closer to your dream and can withdraw up to the total balance in your IDA account to apply towards your goal.