Trump promotes 'Trump Accounts', says every child will have a 'shot at financial freedom'

WASHINGTON, DC: President Donald Trump on Wednesday, January 28, predicted that a new federal investment program for children, dubbed 'Trump Accounts', will grow to at least $50,000 per child by the time beneficiaries turn 18, calling the initiative one of the most transformative economic policies of his presidency.

Speaking at a Treasury summit, Trump said that even modest contributions to the account would generate substantial returns over time.

“With every modest contribution, Trump Accounts should reach at least $50,000 in value by the time the child turns 18,” Trump said.

“With slightly greater contributions, the typical account will grow to $100,000, $200,000 and can even grow up to past $300,000 per child,” he explained.

Trump says program could give '$3 trillion to $4 trillion' to young Americans

The accounts were established under the 'One Big Beautiful Bill Act', which Trump signed into law last July.

The program applies to every child born between January 1, 2025, and December 31, 2028, regardless of family income.

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

Under the program, the Treasury Department deposits $1,000 into each eligible child’s account as seed money.

Family members, friends, states and other adults can collectively contribute up to $5,000 per year, while employers may add up to $2,500 annually within that same limit.

The accounts must be invested in approved mutual funds or exchange-traded funds that track the S&P 500 or similar market indexes, according to Internal Revenue Service guidance.

Trump said that the initiative could ultimately transfer trillions of dollars in wealth to young Americans who might otherwise start adulthood with no financial assets.

“We’re going to put $3 trillion to $4 trillion of wealth into the hands of young Americans who otherwise would have really started out with nothing,” he said.

“I believe that Trump Accounts will be remembered as one of the most transformative policy innovations of all time,” the president added.

Trump framed the program as a reversal of what he described as decades of fiscal neglect by previous administrations.

“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.”

Trump said that the program’s long-term impact would be measured not just in dollars, but in opportunity.

“Perhaps no provision of the Great Big Beautiful Bill will prove more consequential than Trump Accounts,” he said.

Scott Bessent claims that early sign-ups show strong interest

Treasury Secretary Scott Bessent, who appeared alongside Trump at the summit, said early participation numbers suggested significant public interest in the program.

“Six hundred thousand families out of an estimated 25 million have already signed up,” Bessent said in an interview with CNBC, noting that applications began with the official start of tax season on Monday.

Families can open 'Trump Accounts' by making two elections on IRS Form 4547 when filing their 2025 tax return- one to open the account and another to receive the $1,000 pilot program contribution.

Bessent urged more families to enroll, emphasizing that early participation could maximize long-term gains.