Trump Accounts: How to Get $1,000+ for Your Child’s Future | 2025 Launch Date
During his State of the Union address Tuesday night, President Donald Trump promoted Trump Accounts — new savings accounts for children, which are set to launch this summer.
Babies born from 2025 to 2028 will get a significant benefit: The federal government will deposit $1,000 into their accounts. Several major companies are also pledging contributions.
“This is something that’s so special, has taken off and gone through the roof,” Trump said in his speech. “These young people’s accounts could grow to over $100,000 or more by the time they turn 18.”
Treasury Secretary Scott Bessent said last week that families have applied for around 3 million children to receive the benefit.
What are Trump Accounts?
Trump Accounts are tax-advantaged investment accounts for children under 18. Babies born from Jan. 1, 2025, to Dec. 31, 2028, will receive $1,000 from the Treasury Department to initiate their accounts. Eligibility is limited to U.S. Citizens with valid Social Security numbers.
The program was established under Trump’s One, Big, Beautiful Bill Act, which was signed into law on July 4.
The government plans to invest the funds in a selection of low-cost index funds. Officials estimate that the initial $1,000 deposit could potentially grow to an estimated half a million dollars or more by the time the child reaches retirement age.
Who can contribute?
Parents, guardians, friends, and companies are all permitted to contribute to a child’s Trump Account. Children can receive up to $5,000 per year – a limit that will be adjusted for inflation starting after 2027. Employers can contribute a maximum of $2,500 annually.
A growing number of companies, including JPMorgan Chase, Intel and Steak ‘n Shake, have pledged to contribute an additional $1,000 for the children of their employees born between 2025 and 2028, matching the government’s contribution.
Billionaire philanthropists Michael and Susan Dell have also pledged $6.25 billion to supplement the Trump Accounts. The White House announced that, due to the Dells’ gift, 25 million children ages 10 and under will receive an additional $250 each. This additional funding is available only to children who live in ZIP codes with median household incomes under $150,000.
billionaires Ray and Barbara Dalio have committed to donate $250 to 300,000 children under 10 in Connecticut, with the same ZIP code income restriction.
How can funds be used?
Funds in Trump Accounts cannot be withdrawn until the account holder reaches 18 years of age. At that point, the child will gain control of the account and can use the money for qualified expenses such as education, a first home purchase, or starting a business, without incurring penalties.
The White House has stated that the accounts will be treated similarly to traditional IRAs once the young account holders reach adulthood.
How do I apply for my child?
Parents can begin the process of opening Trump Accounts for their children by filing IRS Form 4547 with their tax returns or online at the official Trump Accounts website: trumpaccounts.gov. The White House said parents and guardians who register their children will receive further instructions in May to complete the account setup. The program officially launches .