The idea of ????every child in the United States having an investment from birth has begun to take shape under the Donald Trump administration. Through a new federal program known as Trump Accounts, the government proposes to invest money from the first days of life so that this capital grows over time. The question many families are asking is simple: Who can access these accounts, and how real is the benefit? The Trump Accounts were created as part of the new tax and spending law promoted by Republicans. The program envisions the creation of tax-advantaged investment accounts for millions of children. The federal government will contribute $1,000 for each eligible baby, money that will be invested in the stock market and cannot be accessed until adulthood. In an interview with CBS Saturday Morning, Treasury Secretary Scott Bessent defended the program. “You have $1,000 coming from the government that will be invested in an index fund,” he stated. Furthermore, the secretary confirmed something that, until then, had not been very clear: "Even if your child doesn't receive $1,000 from the government, you can contribute... tax-free. And there will be employers who contribute." Who qualifies to receive the $1,000? The benefit is aimed at children born between January 1, 2025, and December 31, 2028. To receive the money, the child must be a US citizen and have a Social Security number. Parents must open the account. Their immigration status is not an impediment.

The capital will be invested in US market index funds, managed by banks and private firms. Annual fees will be capped at 0.10%, according to the Treasury.

Can anyone open a Trump Account?

Yes. Any family can open a Trump Account, regardless of income level. Parents with immigration statuses other than citizenship can also do so. The main requirement is that the child be a US citizen and have a valid Social Security number. Families with children over 18 can also open an account. However, they will not receive the initial government contribution. That money is reserved exclusively for births within the period established by the Trump administration.This means that opening a Trump Account is not reserved only for high-income families. In fact, the program's design allows communities with fewer resources to receive additional support through donations targeted by zip code, school district, or income level. However, opening the account is a mandatory step. Without registration, there is no money—neither from the government nor from private donors. That's why authorities insist that parents learn about and complete the process when the system is available, even if they don't plan to contribute money immediately. Can more money be contributed? Yes. Parents, employers, relatives, and even philanthropic organizations can contribute. The general limit is $5,000 per year per child, although donations from governments and foundations do not count toward that limit. Bessent himself emphasized that many families have no savings. “A great many Americans could not handle a $500 emergency,” he stated on CBS. That is why he maintains that even small contributions can make a difference over time. The Role of Millionaires and Private Donations Companies such as Bank of America and JPMorgan Chase announced they will contribute $1,000 to the accounts of their employees' children. Other technology and service companies plan to do the same as part of their employee benefits. Philanthropists such as Michael and Susan Dell pledged billions of dollars to support children in low- and middle-income communities. Their contribution will not include the wealthiest zip codes in the country.

When can the money be used?

Trump Accounts will be locked until the beneficiary turns 18. At that time, the funds can be used for education, buying a home, starting a business, or other qualified expenses. Withdrawals will be subject to taxes.

It is estimated that if those $1,000 earn an average return of 7%, they could grow to more than $3,500 after 18 years, even without any contributions. With donations, corporate deposits, and personal contributions, that growth can be considerably larger.