US President Donald Trump introduced a new federal program named “Trump Accounts” aimed at providing every newborn American with a government-funded investment account. At the Trump Accounts Summit held at the Treasury Department, Trump emphasized that this initiative would grant newborns a financial foundation from the start. The program involves the automatic creation of a tax-free investment account for each child born in the US, with an initial $1,000 contribution at birth.
Trump outlined that parents, employers, states, and other donors could make additional contributions to these accounts. He highlighted that the initial $1,000 seed contribution would grow over time, potentially accumulating significant sums. Families and supporters will have the opportunity to contribute up to $5,000 annually to each account, with the possibility of reaching substantial amounts like $50,000 or more by the time the child turns 18.
The President projected that these accounts could grow significantly, potentially exceeding $300,000 per child. Trump described the initiative as unprecedented in scale, estimating that trillions of dollars would be placed in the hands of young Americans over the next decade. He attributed the program’s feasibility to legislation he signed previously, emphasizing its alignment with a pro-worker economic agenda that includes various tax measures.
Trump acknowledged the crucial role of private-sector support in the program’s implementation. He announced a substantial donation from Michael and Susan Dell to fund accounts for an additional 25 million children aged 10 and under. Major employers such as Uber, Schwab, Charter Communications, Intel, Nvidia, Broadcom, IBM, and Comcast have also committed to contributing to these accounts. Additionally, Visa is developing a platform for cardholders to deposit cash-back rewards directly into the accounts.
Parents will be able to activate these accounts starting from July 4 through a dedicated government website. Trump emphasized that this initiative would mark a significant policy legacy, departing from the tradition of leaving children burdened with debt. The Trump Accounts program represents a shift towards universal, government-seeded investment for all newborns, aiming to promote early asset ownership as a fundamental aspect of US family and economic policy.
