Trump Announces US to Give $1,000 for Newborn Investment Accounts – Here’s How They Work

The Trump administration confirmed on Wednesday that it’s giving nest eggs to help the next generation start their adult lives with a financial advantage instead of being poor or in debt.  The president is calling it “one of the most transformative policy innovations of all time.”

Beginning this Fourth of July, the U.S. Treasury will deposit $1,000 into stock market investment accounts run by private firms, for babies born during this Trump term. The money will be available for withdrawal as early as the child’s 18th birthday for things like college, starting a business, or buying a house.

They’re called Trump Accounts. The president held a summit on Wednesday to explain the benefits.

“For the first time ever, we’re going to give every newborn American child a financial stake in the future, a head start with life, and a fair shot at the American dream,” he said.

Trump said parents, churches, and friends can contribute up to $5,000 each year.  

“The typical account will grow to $100,000, $200,000,” he said. “It can even grow up to past $300,000 per child.”

Philanthropists and celebrities are also generously giving, like female rap artist Nicki Minaj, who took to the stage at the Trump Accounts summit.  She pledged to donate hundreds of thousands of dollars to the children of her fans.

“I am probably the president’s number one fan,” she said. “He has a lot of force behind him, and God is protecting him. Amen.”

A growing list of companies have announced they will match the federal contribution for their employees’ children.  They include JPMorgan Chase, Bank of America, Intel, Uber, SoFi, Charter Communications, Charles Schwab, and more.

Charlie Kirk’s non-profits, Turning Point USA and Turning Point Action, will also match the federal government’s $1,000 contribution to Trump Accounts.  

His widow Erika, now the CEO, wrote on X, “Charlie spoke so often about the importance of young families and having children, and his face would light up every time he learned about a Turning Point employee welcoming a newborn into their family,” adding, “We’re proud to stand with @POTUS in supporting families and investing in the future of America.”

Employers may contribute up to $2,500 per year per employee.

Visa announced it will allow cardholders to direct credit card rewards into Trump Accounts, something the president called “a big deal.”

The investment accounts were created as part of the “Big Beautiful Bill,” and are expected to cost the government an estimated $15 billion through 2034.

Parents and legal guardians can establish the accounts by filling out an IRS Form 4547 when they file their taxes.  Treasury Secretary Scott Bessent said Wednesday that 600,000 families have already signed up and predicted 25 million will eventually take advantage of the Trump Accounts.

In December, Michael and Susan Dell pledged $6.25 billion of their own money to help fund Trump Accounts for 25 million children under the age of 10.