Donald Trump on Monday announced a federal initiative to create $1,000 government-funded investment accounts for American children born between 2025 and 2029.
Dubbed “Trump accounts,” the tax-deferred funds would mirror stock market trends and allow up to $5,000 in annual private contributions. The accounts would be managed by guardians and are intended to provide children with a financial head start.
At a White House roundtable, Trump received strong backing from top business leaders—including executives from Uber, Goldman Sachs, Dell Technologies, and Robinhood—who pledged billions in additional contributions for employees’ children. Trump framed the proposal as a “pro-family” policy that empowers future generations through the strength of the U.S. economy.
House Speaker Mike Johnson praised the measure as a “transformative policy,” though it faces hurdles in the Senate.
The initiative is part of a larger, controversial budget bill, which Trump called “the big beautiful bill.”
The Congressional Budget Office, however, warned the legislation would increase the national debt by $2.4 trillion and cut programs like Medicaid and food aid, potentially leaving nearly 11 million Americans uninsured by 2034.
The proposed “Trump accounts” resemble scaled-down versions of 529 college savings plans. While some financial experts question their long-term benefits, similar programs have existed in the UK and Singapore.
Trump remained confident about the plan’s future, saying it could give millions of children “a big jump on life.”
