Washington, D.C., — President Donald J. Trump joined lawmakers and philanthropists Michael and Susan Dell on Tuesday to announce a landmark $6.25 billion charitable commitment aimed at expanding the new federal “Trump Accounts” program for children.
The contribution — one of the largest private investments ever directed toward American families — is expected to significantly accelerate the rollout of Trump Accounts, a savings initiative created under the Working Families Tax Cuts Act. The program is designed to give children a financial foundation from birth and encourage long-term wealth building.
Under current law, Trump Accounts will be available to all U.S. citizens born between January 1, 2025, and December 31, 2028. Each account includes a one-time $1,000 government seed deposit, with families and others permitted to contribute up to $5,000 annually. Funds must be invested in low-fee, broad U.S. equity index funds and remain untouched until the child turns 18. Program projections estimate that a fully funded account left to grow could reach as much as $1.9 million by age 28.
The Dells’ donation will provide an additional $250 to the first 25 million children age 10 and under who live in ZIP codes with median household incomes below $150,000. Officials say the targeted boost will give millions of low- and middle-income families a stronger path toward long-term financial security.
More details about eligibility, contributions, and account rules were released alongside the announcement:
- Eligibility: Any child under 18 with a valid Social Security number may open a Trump Account. Parents or guardians manage the account until the child reaches adulthood.
- Government Contribution: Babies born from 2025–2028 who are U.S. citizens are eligible for the $1,000 Treasury contribution if their account is opened before they turn 18.
- Safeguards: The program includes identity and citizenship verification measures to prevent waste, fraud, and abuse.
- Contributions: Up to $5,000 may be contributed annually by family members, friends, employers, and qualifying charities or government entities.
- Investment Rules: Accounts must be invested exclusively in broad, non-leveraged equity index funds with annual fees capped at 0.10%.
- Withdrawals: Funds cannot be withdrawn before age 18 except in limited rollover situations. After age 18, the account functions similarly to a traditional IRA.
- Opening an Account: Parents can establish an account using IRS Form 4547 beginning with their 2025 tax filings or through an online portal starting mid-2026.
- Employer Plans: Employers may offer up to $2,500 in pre-tax contributions through cafeteria plans.
Contributions to Trump Accounts will begin July 4, 2026. Additional information is available at trumpaccounts.gov.
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