As I’ve traveled across the state this year, I’ve heard one concern echoed time and again —Oregonians are finding it tougher to make ends meet. From gas to health care, from groceries to housing, the basics keep getting harder to pay for each month. Federal policies—whether it’s tariffs, health care cuts, or food stamp reductions—have strained household budgets, drained savings, and stressed consumers.
Treasury’s 2026 Financial Wellness Scorecard showed that families are feeling the pinch. In 2025, 63% of families with children at home had difficulty “covering expenses and paying bills,” according to a survey conducted for Treasury by Oregon State University researcher. That percentage was up from 42% in 2023.
When the money runs out way before the end of the month and there are bills still to pay, families can’t then also save for elements of a financially resilient future such as education for themselves and their children, purchasing a house, or retirement. Last year, the federal government took a step to address the savings crunch families are experiencing by creating Trump accounts, which provide a $1,000 deposit in savings account to children born between 2025 and 2028 that they can withdraw at age 18 to jumpstart their adult lives. (Individual philanthropists also offer an added incentive of $250 for every child that lives in designated zip codes, including all but two zip codes in Oregon).
However, Trump accounts have major shortcomings. Unlike a 529 educational savings account (such as Oregon’s Embark accounts), withdrawals are taxed when a young adult taps into the funds (unless they’re rolled over into another savings vehicle). The accounts are not universal. Families must go online to open one—so far, the administration reports that families have opened 6 million Trump accounts, or just 10% of the number of children who are eligible. Only 1.4 million newborns have received the $1,000 deposit—less than 25% of those who are eligible.
In Oregon, we can do better for our families and our state. My team and I are talking to community partners, philanthropies, lawmakers and experts in the field about launching a child savings account program here that would address many of the specific needs Oregonians have to save and support their families. We hope to lay the foundation for child savings accounts that would ultimately deliver:
- Universal eligibility and access through accounts that are automatically opened at birth for every Oregon newborn.
- An initial deposit for every child, with an ongoing match for families whose incomes are less than 300% of the federal poverty level, funded through a private-public partnership.
- Savings whose earnings would not be taxed and balances that would not be taxed upon withdrawal.
As Oregon’s treasurer, I’m committed to helping Oregon families thrive. Oregon is at a crossroads. Our aging population, high housing costs, and the fierce interstate competition for new residents and businesses have put Oregon’s long-term prosperity in question. Child savings accounts would do more than bolster the prospects for Oregon’s future parents, workers, business owners, and leaders—they could make Oregon more attractive for families, which would boost and sustain a more dynamic economy throughout the state.
Most important, an Oregon Child Savings Account program would help families who are already struggling to put away enough money for their children’s education. Establishing child savings accounts in our state is a proven investment strategy that strengthens child and parent well-being. I look forward to keeping you updated as we work to make Child Savings Accounts a reality in Oregon.
- Elizabeth Steiner, MD, Oregon State Treasurer
|
