This study examines the experience of states in developing and operating special-purpose savings account programs for low-income households. The Food and Nutrition Service (FNS) is interested in the use of special-purpose accounts for the low-income population--especially for households receiving food stamps--as a means of promoting self-sufficiency . These accounts enable low-income persons to accumulate savings for specified purposes such as education, home purchase, home improvement, and business start-up. In many program initiatives, the account holder qualifies for matching funds to enable a more rapid accumulation of savings, as long as the account balances are used for the specified purposes. Such matched accounts are typically called a individual development accounts or IDAs.
This report provides information about the demographic and economic circumstances of food stamp households. On average, about 19.8 million people living in 8.2 million households received food stamps in the United States each month in fiscal year 1998. Food stamp households are a diverse group. Because food stamps are available to most low-income households with few resources, regardless of age, disability status, or family structure, recipients represent a broad cross-section of the nation's poor.
This report details the findings of a two-year evaluation of SCCAP, from October 1995 through October 1997.