Mayor's Leadership Mayor's Leadership Academy Panel: Putting Academy Panel: Putting All of the Asset Building All of the Asset Building

Strategies TogetherStrategies Together

Peter Stahl, Director of Fiscal and Financial Peter Stahl, Director of Fiscal and Financial ServicesServicesCollaborative Support Programs of New Collaborative Support Programs of New Jersey (CSPNJ)Jersey (CSPNJ)Community Enterprises Corporation (CEC)Community Enterprises Corporation (CEC)

ECONOMIC DEVELOPMENTECONOMIC DEVELOPMENTMISSIONMISSION

Our economic development mission is to promote:Our economic development mission is to promote:– self-determination, self-determination, – self-sufficiency, self-sufficiency, – community integration and community integration and – personal responsibility personal responsibility

We do this by developing products and services We do this by developing products and services that increase a person’s financial stability and that increase a person’s financial stability and security through financial education, personal security through financial education, personal

assets and employment.assets and employment.

STATE OF THE NATIONSTATE OF THE NATION • Supportive housing must include individualized Supportive housing must include individualized

financial planning to maintain a person in their financial planning to maintain a person in their homehome

• Poverty is a barrier to a person’s wellness and Poverty is a barrier to a person’s wellness and recovery journey and to community recovery journey and to community integrationintegration

• To overcome poverty we employ asset building To overcome poverty we employ asset building strategies that include financial education, strategies that include financial education, employment, tax credits and return submission employment, tax credits and return submission , debt reduction and credit repair, , debt reduction and credit repair, savingssavings and and investmentinvestment

It is assets, not incomeIt is assets, not income,, that allow people to that allow people to move out of poverty and achieve economic move out of poverty and achieve economic independence. independence. Source: CFED (Corporation for Source: CFED (Corporation for Enterprise Development)Enterprise Development)

ENGAGEMENT ENGAGEMENT CHALLENGESCHALLENGES

• Overcoming misinformationOvercoming misinformation– I will lose my benefits, asset limits don’t allow I will lose my benefits, asset limits don’t allow

meme– I can’t afford to saveI can’t afford to save– I don’t make enough to file a tax returnI don’t make enough to file a tax return

• Overcoming fearOvercoming fear– The economy is bad, I can’t afford to own a The economy is bad, I can’t afford to own a

homehome– I never filed a tax return or haven’t in yearsI never filed a tax return or haven’t in years

• Overcoming barriersOvercoming barriers– I owe money and can’t afford to payI owe money and can’t afford to pay– My credit is bad and I don’t have access to My credit is bad and I don’t have access to

affordable financial services affordable financial services

KEY ELEMENTS OF AN ASSET KEY ELEMENTS OF AN ASSET BUILDING STRATEGYBUILDING STRATEGY

• Today’s strategy includes:Today’s strategy includes:– Financial Education and Training Financial Education and Training

including help with budgeting, money including help with budgeting, money management, debt and creditmanagement, debt and credit

– Matched Savings and/or Individual Matched Savings and/or Individual Development AccountsDevelopment Accounts

– Volunteer Income Tax Assistance Volunteer Income Tax Assistance – Partnerships and coalitionsPartnerships and coalitions– An Outreach and Marketing PlanAn Outreach and Marketing Plan

LESSONS LEARNEDLESSONS LEARNED• Address all aspects of the persons finances Address all aspects of the persons finances

to increase net worth.to increase net worth.• Teach responsibility and stewardship for Teach responsibility and stewardship for

money, encourage a savings component to money, encourage a savings component to every budgetevery budget

• Start with small saver accounts for things Start with small saver accounts for things people want to save toward and build people want to save toward and build savings skills toward an investment in an savings skills toward an investment in an Individual Development Account Individual Development Account

• Limit goals to assets and improvement of Limit goals to assets and improvement of quality of life, not debt repaymentquality of life, not debt repayment

• Use micro loans instead of benevolence, Use micro loans instead of benevolence, transition payments to a savings accounttransition payments to a savings account

• Address good citizenship and asset Address good citizenship and asset opportunities by filing taxes opportunities by filing taxes

• Incorporate financial literacy education and Incorporate financial literacy education and training into wellness and recovery training into wellness and recovery curriculumcurriculum

ACCESS AND ACCESS AND OPPORTUNITYOPPORTUNITY

• Resources for asset building programs and strategies:Resources for asset building programs and strategies:– Assets for Independence Resource Center (AFI) Assets for Independence Resource Center (AFI)

http://www.idaresources.org– National Disability Institute Real Economic Impact National Disability Institute Real Economic Impact

Tour Tour http://www.realeconomicimpact.org/ – Collaborative Support Programs of NJ Collaborative Support Programs of NJ

www.cspnj.orgwww.cspnj.org

• Resources for financial education:Resources for financial education:– Federal Deposit Insurance Corporation (FDIC) Federal Deposit Insurance Corporation (FDIC)

www.fdic.gov/consumers/consumer/moneysmartwww.fdic.gov/consumers/consumer/moneysmart– National Disability Institute Real Economic Impact National Disability Institute Real Economic Impact

Tour http://reitour.financialsoccer.com/Tour http://reitour.financialsoccer.com/

EXTENDING EXTENDING ORGANIZATIONAL ORGANIZATIONAL

INNOVATIONSINNOVATIONS• Statewide movement to include a coalition of Statewide movement to include a coalition of

mental health organizations in the creation of: mental health organizations in the creation of: – The “Access Financial Literacy Education The “Access Financial Literacy Education

Association” www.supportivebanking.org Association” www.supportivebanking.org – A Proposed Low Income Community A Proposed Low Income Community

Development Credit UnionDevelopment Credit Union• ResourcesResources

– National Federation of Community National Federation of Community Development Credit Unions www.cdcu.coop Development Credit Unions www.cdcu.coop

– National Credit Union Administration National Credit Union Administration http://www.ncua.gov http://www.ncua.gov

Contact InformationContact Information

Peter StahlPeter Stahl

Collaborative Support Programs of New Collaborative Support Programs of New Jersey, Inc.Jersey, Inc.

11 Spring Street11 Spring Street

Freehold, NJFreehold, NJ

Telephone: 732-780-1175 ext 27Telephone: 732-780-1175 ext 27

Email: pstahl@cspnj.org Email: pstahl@cspnj.org