EARN\'s Vision For American Prosperity

$: EARN\'s Vision For American Prosperity$
EARN’s VisionFor a Prosperous America

http://www.youtube.com/watch?v=mxENiTnIeKk

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EARN breaks the cycle of poverty and creates new

cycles of prosperity by helping low-wage families invest in the

assets that will secure their futures and the future of their

children…

EARN’s Mission

• Helping low-wage families save to invest in college educations, micro-enterprises, and first homes

• Providing money management training to help families budget and plan to achieve their dreams

EARN pursues its mission by

• Launching innovative pilot programs – like Bank on San Francisco – that help families enter the financial mainstream

• Working to change policies that increase opportunities for workers to invest in the kinds of assets that will create prosperity for themselves and their families across generations


How EARN breaks the cycle of poverty

• Matched Savings Accounts• Financial Coaching• Micro lending• Ongoing Support and Training• Financial Education• Innovations like Bank on San Francisco• Public Policy Advocacy • Applied Research

EARN’s asset-building strategy gives families the knowledge and tools to accumulate, leverage, and

preserve assets across generations


EARN’s Outcomes – Bank on Movement

• 50,000+ people have new bank accounts through Bank on San Francisco program

• EARN helped create and launch Bank on San Francisco with City of San Francisco, and Federal Reserve Bank.

• Bank on SF replicated by Governor Arnold Schwarzenegger as Bank on California

• President Obama has replicated model - Bank on USA

• EARN is advising the Obama administration on how to design the Bank on USA program.


EARN’s Outcomes – Matched Savings Accounts

• EARN is the top matched-savings program in US• Over $13 million put aside by EARN Savers since

2002• Average household income < $20K annually• 83% people of color; 65% women

• EARN savers invest in college, small business and first time homeownership

• EARN homeowners are *keeping* their homes!


EARN’s Sources of Revenue

EARN has raised $23,940,000 since our founding in 2001. The sources of these funds are distributed as follows:• Foundation – 40%• Government – 30% (federal 25%, local 5%)• Corporation – 18%• Individual – 12%


EARN Uses of Revenue

Over 85% of EARN’s revenue directly impacts our Savers

Total Match Funds to Date: $9.69m (41%) Services to Savers : $9.51m (40%)(financial education, coaching, transactions, etc.)

Policy advances: $1.61m (6%) Fundraising +Comm. $2.12m (9%) Administration $1.02m (4%) Total $23.94m (100%)


EARN Expenses by Category

• EARN is Lean and Trending LeanerServices and Products to

Clients

Fundraising and Communications

Administration

2009 73% 20% 7%

2010 81% 13% 6%

2011 (projected) 84% 10% 6%


EARN Leverages Capital

• EARN expenditures leverage meaningful economic activity – directly in the Bay Area and beyond

• Estimate that we have leveraged $70m in economic activity in the Bay Area since 2002• Rough estimate of activity related to homes

purchased, college degrees pursued and small businesses built.

• EARN has leveraged far more across California and nationally through replication of our ideas and programswww.earn.org www.facebook.com/earnorg www.twitter.com/earn 9

www.earn.org/research www.facebook.com/earnorg www.twitter.com/earn 10

In November 2010, EARN—the nation’s leading provider of microsavings—is establishing the EARN Research Institute (ERI) to advance the nation’s capacity to put low-income

earners on the path to prosperity.

• The EARN Research Institute aims to be the nation’s source of gold standard applied research that illustrates what factors are critical to enable low-income earners and their families to achieve financial success.

• The EARN Research Institute is devoted to the publication and dissemination of expertly researched materials that demonstrate the behavioral dynamics of financial efficacy and access for low-income earners and promote public policies that enable low-income earners to create prosperity for themselves and their children.

www.earn.org/research www.facebook.com/earnorg www.twitter.com/earn 11

EARN is launching the EARN Research Institute because we are uniquely positioned on the ground serving thousands,

to provide solutions for America’s low-income families.

• EARN’s validated and evidenced-based financial services portfolio has helped tens of thousands of low-income workers to save money in ways that have made substantial positive changes in their lives.

• Since 2001, EARN has helped tens of thousands of low-wage families in the San Francisco-Bay Area create new cycles of prosperity through innovative financial products including matched savings accounts, checking accounts for the unbanked, and money management coaching.

• EARN is the only U.S. financial services non-profit with a staff of financial coaches who spend 100% of their time coaching clients toward behavioral changes that create prosperity.

• The EARN Research Institute is the brainchild of Taek Kwon

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People seeking change for American workers seek out EARN’s solutions because EARN works…

Lorenzo just turned two years old and he already has a college fund thanks to EARN! He loves reading books with mommy -- even my textbooks now that I've gone back to school.

Thank you so much for making this possible! EARN has given me the power to change our future forever.

Love,Elizabeth and Lolo

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Elizabeth and Lorenzo Castillo, Oakland, California


EARN in Action – Meet Jamie Moore First-time homeowner

Click on the link below to watch a short video about Jamie Moore’s journey to homeownership: www.earn.org/jamiemoore

http://www.earn.org/jamiemoore




Thanks to its track record of success EARN is praised by some of the nation’s most visionary leaders, like California Lt. Governor Gavin Newsom…

“EARN has proven that when government, business and the community come together to invest in the working poor, they have the potential to succeed beyond anyone’s expectations.”

- Mayor Gavin NewsomCity of San Francisco


Organizational Overview

• EARN leads innovation in ending the cycle of low wealth and creates new cycles of prosperity by providing financial services that help low-wage families build assets

• Started in 2001; began servicing clients in 2002• Led by a very talented staff and board with deep experience in

the private, government and nonprofit sectors• $4.5 million annual budget; very low administrative costs• Board members from TPG, Google, Goldman Sachs, Wells

Fargo, other top companies• Recipient of numerous awards, including:

• 2008 James Irvine Foundation Leadership Award; • 2005 Amazon.com Nonprofit Innovation Award Finalist• 2005 Social Capitalist of the Year from Fast Company


EARN’s success creating prosperity for low wage families in America has been widely recognized…

Visit www.earn.org/news to view media coverage of EARN

http://www.earn.org/news

EARN\'s Vision For American Prosperity

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