Photo courtesy of Coconino County
COCONINO COUNTY — Want a new career, or to start and/or expand a home-based or other small business? If so, an Individual Development Account (IDA) may be for you. An IDA is a special match grant savings account for eligible participants who save earned income for post-secondary education or small business start-up and/or expansion. What makes the IDA really special is that participant savings are matched by local and federal grants, when all funds are dedicated for approved asset purchases.
Match Grant Saving Incentive
Match amounts varies depending on grant availability and the match rate for the type of IDA asset being pursued. For a certificate program or two-year degree at Coconino Community College a participant can save up to $1,000 and receive a grant up to $3,000 for a total of $4,000 to pay for needed tuition, fees, books, supplies, etc. For starting or expanding a business a participant can save up to $2,000 and receive a grant up to $4,000 for a total of $6,000 available for equipment, tools, inventory, advertising, etc.
Eligibility Requirements
IDA program eligibility requires: 1) Proof of Residency, 2) Photo ID & social security card (or ITIN), 3) Three most recent pay stub copies, 4) Current credit report, 5) Earned Income (SSDI, SSI, and unemployment are not considered income), 6) Household net-worth less than $10,000 (excluding home and primary vehicle), and 7) Annual household adjusted gross income not exceeding 200 percent of the current federal poverty level (Household of one: $23,530, plus $8,320 for each additional household member).
Once You Are Accepted Match grant funds become available after a participant deposits at least $25 of wage income per month for a minimum of six months, completes a free financial workshop, and shows planned purchases in an approved savings and grant usage education or business plan.
Using Tax Returns and Earned Income Tax Credit (EITC) Savings and match grant funds grow faster when a participant deposits all or part of their tax return, including EITC. To assist you with tax filing, FREE Volunteer Income Tax Assistance is available.
Funders Coconino County’s IDA is currently funded in part by: Alliance Bank of Arizona, National Bank of Arizona, U.S. Dept. of Health and Human Services, A New Leaf/MesaCAN, Arizona Community Foundation of Flagstaff & Partners, Sun West Bank, Dougherty Foundation, Raymond Foundation, and UNS Energy Corp.
For More Information:
For more information, including program guidelines and an application, contact: Scott Neuman (928-679-7463; sneuman@coconino.az.gov), or Barbara Frakes (928-679-7426; bfrakes@coconino.az.gov)
Coconino County Community Services is a public nonprofit Community Action Agency and donations to it may be eligible for a dollar-for-dollar Arizona Charitable Tax Credit and deductible from federal income tax.