Millions of American children now have investment accounts in their names — automatically. The White House announced Wednesday that every U.S. citizen child born between January 1, 2025, and December 31, 2028, has been auto-enrolled in a Trump Account, a federally backed program seeding each account with $1,000 to give the next generation a financial head start.
President Trump made the announcement, framing the program as a broad opportunity for young Americans to build wealth from birth.
“Now every member of the next generation will have an investment account,”
Trump said during the event. He added that the accounts would be
“teaching people a little bit about entrepreneurship,”
and that children would be
“potentially very rich”
by the time they turn 18.
How the Accounts Work
The $1,000 seed money placed in each account is managed by private firms that invest it in index funds — a type of mutual fund that tracks the performance of the stock market. Children cannot access the funds until they reach adulthood at age 18, and even then, withdrawals are restricted to specific uses such as paying for education, launching a business, or purchasing a home.
Families can also contribute up to $5,000 per year to their child’s account, and speakers at the announcement encouraged parents to download the Trump Account app to claim their child’s account and begin adding funds.
According to the U.S. Treasury,
“During the claiming process, a parent or guardian will verify their identity and relationship to their child, review the child’s information, and accept the account terms.”
The Treasury also notes that
“Eligible children must also have their Trump Account claimed to receive the one-time $1,000 seed contribution from Treasury.”
Where the Money Stands Now
Frank Bisignano, CEO of the Internal Revenue Service and commissioner of the Social Security Administration, said that 10 million of the 70 million total accounts have been funded so far, with $4.5 billion deposited. He said those figures would increase by the coming weekend. Bisignano said the program gives children a stake in the economy, noting that many will
“now have a piece of capitalism”
that
“many would’ve never seen before.”
Private donors have also stepped in to support the initiative. Companies including Nvidia and Steak ‘n Shake, along with philanthropists Michael and Susan Dell — who pledged $6.25 billion to encourage families to claim accounts — have made contributions to help fund the program.
Susan Dell spoke at the announcement, addressing children directly:
“Knowing that someone believes in you and your future, that matters just as much”
as the money, she said.
“These accounts are for you. We believe in you. We want you to dream big, because we know you can make your dream come true.”
Texas Sen. Ted Cruz also appeared at the event, suggesting that family members could contribute to a child’s Trump Account as a holiday gift — rather than buying an
“ugly sweater.”
How Much Could $1,000 Grow?
A data visualization from the Get the Facts Data Team illustrates how the seed investment might grow over 18 years. Since 1957, the S&P 500 has delivered an average annual return of more than 10%. At that rate, the initial $1,000 could grow to approximately $5,600 by the time a child turns 18.
However, experts say the real-world value could be closer to $3,600 after accounting for taxes and any early-withdrawal penalties.