Trump Accounts Program Offers $1,000 to Newborns

The U.S. government is set to launch the Trump Accounts program on July 4, offering an initial $1,000 deposit to approximately 1.5 million American babies born in 2025. This initiative aims to support the future financial independence of young Americans.

Under the program, parents and legal guardians can open a Trump Account for children born between January 1, 2025, and December 31, 2028. These accounts are a new type of tax-advantaged savings vehicle established by federal tax law. The initial government funds will be invested in the stock market via private firms, intended to grow over time.

The account will be held in the child's name, with a parent or guardian acting as custodian until the child turns 18. Withdrawals are prohibited before this age. Upon reaching 18, the account will operate under traditional IRA rules, allowing penalty-free withdrawals for qualified expenses such as college tuition, first-time home purchases, or starting a business. Standard income taxes will apply to all withdrawn funds.

Eligibility requires the child to be a U.S. citizen born within the specified timeframe and possess a Social Security number. Children younger than 18 born outside this window can also apply for an account, though they will not receive the initial $1,000 government deposit. Families and employers can contribute up to $5,000 annually per child.

Applications for a Trump Account can be submitted via IRS Form 4547 or through the TrumpAccounts.gov website. Existing sign-ups must complete account activation via the official app or website before contributions can be made.