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WEALTH CREATION STRATEGIES THAT WORKIndividual Development Account (IDA)programs increase financial literacy and wellbeingfor low-income individuals. According toone Ohio State University survey of a local IDAprogram, graduates:• experience higher post-program financialassets than those who drop out• have a higher annual household income• are more likely to own an investmentaccount and be employed full-timeOf program graduates who saved to purchasea home, all but one still owned it. Additionally,three-fourths of IDA participants who usedfunds to open a small business were able tosustain it. 9In Oregon, the IDA Initiative has producedsimilar findings, but the outcomes are slightlydifferent for Blacks. In Oregon, 7.2 percent(600) IDA program participants were Black,over half of whom were saving to buy ahome. Of these Black participants, almost40 percent couldn’t complete programrequirements for reasons like “not being ableto attend financial education classes or assetspecificeducation.” 10When funding these programs, it’s important to:• provide extra support to minorities andpeople who have employment difficulties• educate participants on the benefits ofinvestment accounts• stress the importance of future life events,such as buying a home or college costs• foster skills that help in coping withsituations of limited resources• encourage participants to pursue/explorethe possibility of formal educationIDA program outcomes demonstrate thatincreasing financial literacy is critical to longtermwealth creation in the Black community. 11122