Before New York City’s kindergartners can even tie their shoes, they’ll already have a head start on paying for higher education. As part of the newly approved $125.8 billion Fiscal Year 2027 city budget, every single public school kindergartner in NYC will automatically receive $1,000 toward a college savings account.
No, it’s not a scam, and there are no hidden strings attached. It is officially the largest universal college savings program in the entire United States.
Here’s everything NYC parents need to know about the massive new program, how it works, and how to make sure your child gets their money.
What is the $1,000 college savings program?
The funding is part of a historic, tenfold expansion of NYC Kids RISE, a nonprofit school savings initiative originally launched over a decade ago.
Previously, the city only contributed a modest $100 per child to help jumpstart a student’s academic future. Thanks to a budget agreement reached between Mayor Zohran Mamdani and City Council Speaker Julie Menin, the city is injecting a massive $53 million into the program to boost that baseline to $1,000 per student.
According to Council Speaker Menin, who made the expansion her highest budget priority, the investment is designed to directly combat systemic income inequality. Menin stated:
This will be the nation’s largest universal college savings program in the country, and the impact of a college savings account lasts long after students receive their diploma.
How does it work and who qualifies?
The beauty of the program is its simplicity for busy New York parents.
- Who gets it: Every single kindergartner enrolled in an NYC public school (as well as most participating charter schools), regardless of their family’s household income
- How to sign up: You don’t have to. Enrollment is completely automatic. Unless a family explicitly chooses to opt out of the program, an account will be created for the student
- Where the money goes: The $1,000 is safely deposited into a tax-advantaged 529 plan. Because it’s invested early, that $1,000 has over a decade to grow before the student ever graduates high school
What if my child is already past kindergarten?
If you have an older child in the NYC public school system, don’t worry—you haven’t completely missed the boat.
Because NYC Kids RISE has been rolling out citywide over the last few years, all current NYC public school students in 1st through 4th grade are already eligible for the program. If your child is in these older grades and you never explicitly opted out, a Save for College account was already automatically created for them.
The catch? Because they enrolled in previous school years, their accounts were started with the city’s original $100 baseline deposit, not the newly approved $1,000 kindergarten lump sum.
However, it’s still 100% worth activating your older child’s account right now. By logging in, you can unlock:
- “Building Blocks” Bonuses: The city will drop extra cash rewards into the account just for completing simple steps, like linking your own personal savings account
- Community Scholarships: Local businesses, neighborhood organizations, and donors frequently inject large financial pools into specific schools or classrooms, which is divided up among active accounts
How to check your child’s status: If you’re new to the school system or want to check if your older child has cash sitting in an account waiting for them, grab their 9-digit NYC student ID (OSIS number) and head over to the official NYC Kids RISE Activation Portal to register.
What can the money actually be used for?
Parents don’t need to worry if their child chooses a non-traditional career path down the line. The funds are remarkably flexible and can be used for a wide variety of post-secondary education expenses, including:
- Traditional four-year universities
- In-state community colleges (like CUNY schools)
- Trade schools and vocational training programs
Even better, the account isn’t locked at $1,000.
Families, local businesses, and neighborhood organizations can actively contribute to the accounts over the years through “community scholarships” to help the pot grow even larger.
What else is in the new NYC budget for residents?
While the $1,000 kindergarten bonus is grabbing major headlines, the FY27 budget packed a few other massive wins for everyday New Yorkers’ wallets:
- Massive Fair Fares Expansion: The city allocated an extra $54 million to the Fair Fares program, raising eligibility to 200% of the federal poverty level. This opens up half-price subway and bus rides to an additional 340,000 low-income New Yorkers
- 7-Day Library Access Restored: If you love spending your weekends at the local library, rejoice. The budget fully restored $34.7 million in library funding, ensuring seven-day public library service remains active
- Parks & Culture Boosts: Millions were restored to protect Parks Enforcement Patrol, neighborhood community gardens, and the city’s iconic cultural institutions
For parents looking to check on their child’s account status or learn more about the rollout for the upcoming school year, you can find official updates directly via the NYC Kids RISE web portal.
