Family Assets for Independence in Minnesota (FAIM) accounts, also known as Individual Development Accounts (IDAs), enable people to escape poverty and achieve wealth through asset acquisition.
The FAIM program is a matched savings project that helps Minnesota resident low-wage earners build assets in the state through:
-purchase of a first home
-pursuit of a higher education
-launch of a small business
-purchase of a personal vehicle
This is accomplished by the participant depositing $84 or more monthly from their earned income into a Family Asset Account (custodial savings account). The participant has up to 24 months to save (up to $2,000 maximum savings per household in a lifetime). Participant savings may be matched by the program at a rate of 3:1 (up to $6,000 maximum match per household in a lifetime) upon successful completion of their Contract Agreement. If all program and asset requirements are met after completing 6 months and 1 day of enrollment (from first deposit date), the participant may request full payout of savings and match from his/her account to obtain their chosen asset. The client is required to complete final payout and exit the program within 30 months of his/her first deposit date or the end of the grant, whichever comes first.
Clients interested in starting or expanding a business will work with the Small Business Development Center to complete a business plan.
Clients choosing to purchase a home are required to participate in Framework through Central Minnesota Housing Partnership.
Clients interested in the education model will work with a counselor on school preparation, financial aid application, career counseling, course registration, and institutional orientation.
We congratulate all of the participants for their hard work and diligence in achieving a sought after goal!
Trista has been working with the FAIM program since December 2017. She has completed her Bachelor’s in Psychology and is extremely excited to be able to use the FAIM dollars that she saved towards her Masters! Saving money had been an issue for Trista in the past, and so being enrolled in the FAIM program has shown Trista the importance of saving and the benefits of a financial safety net. Trista recommends this program, not only because of the savings she is able to use for her schooling but also because of the financial education that she received through her enrollment in FAIM.
Trista was able to save $960 in 2 years, and received a $2,880 match, resulting in $3,840 that she is able to use towards her tuition expenses.
Click here for more information or call Tri-CAP at 320-251-1612.
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