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Among Our Best Savers: Single Moms Building Foundations for Their Families
Randie and son, Noah
The most vulnerable group of young adults who have aged out of foster care – young single mothers – save and purchase more assets through their Independent Development Accounts (IDA) than other Opportunity Passport™ participants, according to a recent report by the Jim Casey Youth Opportunities Initiative.
More than half of the young moms bought assets, compared to a third of the other young adults, according to surveys filled by the young people. They also made larger deposits – $1,201 – than the adult participants in the American Dream Demonstration project, whose average deposits were less than half that. And despite all the demands on their time, the young single moms also were involved in the Youth Leadership boards at a similar percentage as other youth.
No one's entirely sure why the single moms appear to be doing such a good job saving and buying assets, but Randie Camp, a 20-year-old in Iowa, offers some insight. She took advantage of a matched savings account to receive eye care, enroll in college and purchase a computer for schoolwork.
Randie entered foster care when she was 12 years old and joined her first independent living program at age 16. There she first heard about the Opportunity Passport™ and other support systems available to youth, but she wasn't ready to listen. "I was young and in high school, and I was a spender," she says. "Money was very important to me – and as soon as I got a paycheck, I would spend it on myself and my clothes." In 2005, at 18, Randie aged out of the foster care system and stayed with friends and with her grandmother until she got her own apartment.
Living by herself in Ames, Iowa, Randie found out she was pregnant and gave birth to Noah last year. "With Noah, everything is different – I'm always thinking about him, I always put him first," she says. Randie decided to take advantage of the opportunities available to her. With support from her church and friends, she enrolled in the Opportunity Passport™ offered by the Initiative's Iowa site, the Youth Policy Institute of Iowa, in August. She used her first matched savings for an eye exam and contact lenses. Randie used her next match to pay a registration fee at Iowa State University.
Randie recently used her latest savings match, along with the resources of the Iowa Aftercare Services Network, to purchase a laptop computer to complete her assignments. Although most other students could use the campus computer lab or the local public library, those options were nearly impossible while caring for a one-year-old child.
Now, Randie believes that using the matched savings account has changed her outlook on her financial future. "Everything is long-term now. I stock up on diapers and anything else we'll need and I try to buy everything way in advance," she says. Randie continues to save – this time for a new car to make commuting between home and school much easier. Randie plans to continue her studies at Iowa State in elementary education with a concentration in special education. In the future, she hopes to become a school psychologist or a principal.
