Child Savings Program Nears Decade, Parents Urged to Understand Options
Translated & summarized from TheMarker by baba
Israel's "Savings for Every Child" program, active since January 2017, has seen high-risk investment tracks yield the most significant returns, with over a third of parents not doubling their contributions. The state deposits 58 shekels monthly per child, with parents able to match this amount from child allowances. By the end of 2025, the program will hold 25.4 billion shekels across more than 3.6 million accounts.
The story in 5 lines · by baba
- High-risk investment tracks have yielded the highest returns in Israel's child savings program.
- Over one-third of Israeli parents are not doubling their monthly child savings contributions.
- The state deposits 58 shekels monthly per child, with parents able to match this amount.
- The program has accumulated 25.4 billion shekels by the end of 2025.
- More than 3.6 million active savings accounts are part of the program.
Nearly ten years after the launch of the "Savings for Every Child" program, significant disparities have emerged between investment track options, amounting to thousands of shekels. High-risk investment tracks have shown the greatest returns, while the choice of the specific fund manager had less impact than the chosen risk level. Despite the program's benefits, over a third of parents are still opting out of doubling their monthly contributions.
Since January 2017, the state has been depositing monthly savings for every child in Israel. The initial deposit was 50 shekels per month, which has since increased to 58 shekels. Parents have the option to double this deposit using funds from their child's allowance. As of the end of 2025, a total of 25.4 billion shekels have been deposited into the program, which currently manages over 3.6 million active savings accounts.