For Immediate Release

Tuesday, March 19, 2025

Contact: Elisa Rivera

Elisa.Rivera@sen.ca.gov (559) 264-3070

Senator Anna M. Caballero Leads Effort to Expand Foster Youth Financial Support with SB 624

Sacramento, CA – Senator Anna M. Caballero (D-Merced) has introduced Senate Bill 624, legislation to expand access to the Foster Youth Tax Credit (FYTC). This bill will direct $1 million in unutilized FYTC funds, to establish standardized outreach protocols for county child welfare agencies, to ensure that foster youth are equipped with the financial resources they need to thrive once they reach 18 years of age.

“The Foster Youth Tax Credit is a lifeline that far too many eligible youth miss out on,” said Senator Caballero. “SB 624 is about more than just dollars. It is about California’s commitment to support vulnerable youth. My bill is a promise to foster youth that they are not forgotten.”

The FYTC, a component of the California Earned Income Tax Credit (CalEITC), provides a refundable tax credit to young adults ages 18-25 who were in foster care at or after their 13th birthday and who qualify for CalEITC. In 2023, 5,680 recipients collectively received $6 million in benefits. However, only 16% of eligible foster youth claimed the FYTC, leaving millions of dollars in much-needed financial support unused.

This tax credit is especially beneficial for foster youth who are parents, who are eligible to receive an average of $5,265, while single filers can receive $1,117. Unfortunately, many foster youth fail to file taxes, which prevents access to this critical support.

SB 624 will bridge this gap and require counties to enhance outreach efforts using existing unspent funds, to ensure foster youth are informed and equipped to claim the FYTC. The bill mandates that the California Department of Social Services (CDSS) provide statewide guidance and best practices for outreach, and include stronger education initiatives and partnerships with local Volunteer Income Tax Assistance (VITA) sites. Additionally, county child welfare agencies will be required to distribute tax credit resources annually to eligible youth, with personalized QR codes linked to free tax assistance services.

Senator Caballero is committed to ensure equitable access to financial resources, and this legislation will provide thousands of young adults with the tools they need to achieve financial independence and stability.

For interviews or inquiries, please contact: Elisa Rivera at 559-264-3070

Senator Anna M. Caballero proudly represents California's 14th Senate District, leading efforts to advance clean energy, improve healthcare access, expand affordable housing and create opportunities for working families across Merced, Fresno, and Madera Counties.

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