Lawmakers urge you to sign up for new Trump accounts
What do you think?
Kansas U.S. Sen. Roger Marshall is encouraging families to sign up for the new federal Trump Accounts program, which officially launched today and provides eligible children with a $1,000 government-funded investment.
The tax-advantaged savings accounts were created under the Working Families Tax Cuts law. Children born between Jan. 1, 2025, and Dec. 31, 2028, who are U.S. citizens with a Social Security number are eligible to receive a $1,000 seed contribution from the U.S. Treasury after a parent or guardian opens an account. Older children can also open accounts but are not eligible for the government contribution.
Marshall called the program an investment in the next generation, saying it gives young Americans a financial head start while encouraging lifelong saving and investing. He said the accounts can help families prepare for future expenses such as higher education, buying a first home, starting a business or building retirement savings.
The accounts invest money in low-cost U.S. stock market index funds managed by private financial firms. Family members, friends and employers can contribute up to $5,000 per year, adjusted for inflation. Children generally cannot access the funds until they turn 18, and withdrawals are limited to qualifying purposes.
According to the Treasury Department, more than 5.5 million Trump Accounts have already been opened, with approximately 1.4 million children eligible for the initial $1,000 government contribution. Treasury officials say about 86% of eligible accounts were opened by families earning less than $200,000 annually.
The program also allows private donations to boost account balances. Dell Technologies founder Michael Dell and his wife, Susan, have pledged billions of dollars to help fund accounts for some children who are too old to qualify for the federal seed money, while Micron Technology CEO Sanjay Mehrotra recently announced a $250 million commitment.
Families can open accounts through the Trump Accounts website or when filing their federal taxes.
