The EB-5 Immigrant Investor Program allows foreign nationals to obtain U.S. permanent residency by investing in a U.S.-based business that then uses these funds to create jobs for American workers.
For parents, this program provides a unique opportunity to secure their children’s future. The EB-5 program offers much more than permanent residency—it also offers access to world-class education, top-notch healthcare, and a wealth of professional opportunities.
That said, understanding the different ways in which children can be included in an EB-5 investment is essential for parents considering this route. In this article, we will explore the two main ways parents can involve their children in the EB-5 program: investing directly with their children as dependents or gifting the required funds for their children to apply as independent investors.
The EB-5 Program: A Brief Overview
Option 1: Including Your Children as Dependents
Option 2: Gifting the Required Funds
Choosing the Right Path for Your Family
The EB-5 Program: A Brief Overview
The primary benefit of the EB-5 program is that, following the investment mentioned above, it provides a path to permanent residency for both the investor and their dependents, which typically include the investor’s spouse and unmarried children under the age of 21. Once approved, the family receives a conditional Green Card for two years, after which they can apply for unconditional permanent residency.
Option 1: Including Your Children as Dependents
The most straightforward way for parents to secure U.S. residency for their children is by including them as dependents in their EB-5 visa application.
The EB-5 program allows investors to include their spouse and unmarried children under the age of 21 as dependents on their application. This means that if a parent invests the required amount in a qualifying project, their children can be part of the Green Card process without needing to make a separate investment.
Age Limit
The primary advantage of this route is that unmarried children under 21 are eligible to be included in the investor’s application.
Importantly, this does not mean the child must be under 21 throughout the full EB-5 process. The Child Status Protection Act (CSPA) means that some dependents can continue to be considered under 21 beyond the individual’s 21st birthday. This largely applies to children who were under 21 when their respective Form I-526E petition was submitted but who turned 21 before this petition was adjudicated.
However, for most other circumstances, once children turn 21, they can no longer be considered children for the purposes of pursuing an EB-5 Green Card.
Education and Healthcare
By securing a Green Card through the EB-5 program, children gain access to excellent educational opportunities, both at the K–12 and university levels. Public K–12 education is available at no cost to residents, and Green Card holders are eligible for in-state tuition rates at public universities, which can be much more affordable than international fees.
Also, since students with Green Cards are considered U.S. residents, during the college application process, their lawful permanent resident status puts them in the same pool as U.S. citizen applicants, rather than international student applicants. As a result, instead of competing for a limited number of spots due to international admission quotas, Green Card holders have the same acceptance rate as all other U.S. residents.
Security and Stability
By applying as dependents, children benefit from the stability and security that comes with permanent residency.
In addition to children’s educational benefits, the EB-5 route offers career opportunities to an investor, the investor’s spouse, and, over time, the investor’s children. Such opportunities can then lead to better lives for investors and their families.
In sum, this pathway ensures that the entire family can settle in the U.S. together, which can be particularly valuable if the parent has multiple children and is investing for their long-term well-being.
Option 2: Gifting the Required Funds
Alternatively, parents may choose to gift the required investment amount to their child, allowing the child to apply as an independent investor in the EB-5 program. This path might be particularly attractive if the parents do not wish to relocate to the U.S., the child is older (over 21), or is looking to invest in their own future rather than rely on their parents’ application.
Eligibility and Investment
The child would need to meet all the same requirements as an independent EB-5 applicant, including making a qualifying investment of $1,050,000 or $800,000 for targeted employment area (TEA) projects.
As with all other funds, the parent’s gift must be well-documented to prove the legitimate transfer of funds, and the child must demonstrate that the investment meets all the relevant EB-5 criteria, including job creation requirements.
Independence
Gifting the funds allows the child to maintain more control over their investment and the process of obtaining their Green Card. This option is particularly appealing for adult children who may want to establish their independence and pursue business or career opportunities on their own.
Age and Qualifications
There are no age restrictions for independent investors, so children who are over 21 can still pursue this path.
Additionally, the child can apply for a Green Card based on their own investment, which means they won’t have to rely on their parent meeting all the EB-5 eligibility requirements.
Legal Considerations
Investment through gifts are permissible under the law, and these are a common source of funds. This approach does, however, include some key considerations—these funds need to be gifted to the investor in good faith, and they must be lawfully sourced and properly documented as such.
So long as those two requirements are met, gifts are a perfectly acceptable way to source the funds required to make an EB-5 investment.
Choosing the Right Path for Your Family
Both of the above options—including children as dependents or gifting the funds for an independent investment—offer distinct advantages. Ultimately, the choice depends on various factors, including the child’s age and career goals and the family’s long-term immigration and financial objectives.
For families considering the EB-5 program, it is crucial to consult with experienced immigration attorneys and EB-5 experts. A personalized consultation can help ensure that the chosen path aligns with your goals and provides the best opportunity for securing a bright future in the U.S.
EB5AN has helped more than 2,300 families from over 60 countries relocate to the United States as lawful permanent residents. Our expert team has more than a decade of experience, and we offer our clients first-rate, low-risk EB-5 regional center projects with a 100% USCIS project approval rate to date.
To learn more about how the EB-5 program can help you obtain U.S. Green Cards for you or your children, schedule a free consultation with EB5AN.
