The investments will put money “in the hands of young Americans who otherwise have really started out with nothing,” Trump said. He also issued a call to action to employers to make matching Trump Account contributions for employees.
“Every president in modern history has left our children with nothing but debt,” Trump said. “But under this administration, we’re going to leave every child with real assets and a shot at financial freedom.”
Here’s what you need to know and how to claim an account for your eligible child.
What is a Trump Account?
It’s a new savings tool where money is invested in the stock market on behalf of a child. The child can access the money when they turn 18 and can only use it for specific purposes, like tuition, starting a business, or making a down payment on a home.
After a parent opens an account, the U.S. Treasury will contribute $1,000 for newborns. Private banks and brokerages will manage the money, which must be invested in U.S. equity index funds that track the stock market and charge the accounts no more than 0.10% in annual fees.
Parents can contribute up to $2,500 annually in pretax income, much like they do for retirement accounts. Parents’ employers, relatives, acquaintances, local governments and nonprofit groups can also contribute. Yearly contributions are capped at $5,000, but contributions from government bodies and charities don’t count toward that total.
“We’re doing something much better than giving the next generation a handout,” Trump said. “We’re giving them ownership of America’s future.”
Who is eligible for $1,000 accounts?
To qualify for the $1,000 seed money, a baby must be a U.S. citizen, have a Social Security number and be born between Jan. 1, 2025, and Dec. 31, 2028. Any parent can open an account for a qualifying child.
It’s important to note that the child won’t be able to access the money until they turn 18, except in rare circumstances. Disbursements from the accounts are subject to taxes.
The Internal Revenue Service recently announced that taxpayers have signed up more than 4 million children for tax-favored Trump Accounts, of which more than 1 million children are covered by elections for the $1,000 Trump Accounts pilot program contribution. Meanwhile, some Illinois Democrat lawmakers are working to try to ban access by Illinois-born babies to these long-term savings accounts, although their efforts have largely stalled in the State Senate.
This new investment tool aimed at providing a better future for babies launched on July 4th in Illinois and across the nation.
Can older kids get any bonuses for their Trump Account?
In December, entrepreneurs and philanthropists Michael and Susan Dell announced a $6.25 billion donation that will allow some children who are 10 and under to receive $250 in seed money if their parents open an account. That money is reserved for kids who live in ZIP codes with a median family income of $150,000 or less and who won’t get the $1,000 seed money from the Treasury.
Other philanthropists have contributed additional funds for state-specific grants programs. Several major companies also plan to add Trump Accounts contributions to their benefits packages, including Uber, Intel, IBM, Nvidia and Steak ‘n Shake. The administration has encouraged corporate contributions through a program U.S. Treasury Secretary Scott Bessent calls the “50 State Challenge.”
How do I open an account for my kids?
Parents can begin contributing to Trump Accounts on July 4, 2026. Families may start the process by filing IRS Form 4547 or by using the official Trump Accounts website.
Families that signed up received follow-up information with instructions for completing the account-opening process. The accounts became available July 4, 2026.
Treasury officials warned families to watch for fraud as the program rolls out. The Treasury Department said legitimate activation emails will come only from no-reply@TrumpAccounts.Treasury.gov.
Parents of eligible kids can sign up using Form 4547 from the Internal Revenue Service. Parents had an opportunity to fill out the form when filing federal income taxes this year and now have another opportunity since the launch of the online portal and App.