Trump launches 'Trump Accounts' investment program for children
Program provides eligible children with a $1,000 government-funded investment account under Trump's new tax law
In a major policy rollout on Monday, July 6, the U.S. President Donald Trump rang a joint opening bell for the NYSE and Nasdaq directly from the Oval Office to mark the first official trading day for these "Trump Accounts."
For children born during his second term, the government has guaranteed an automatic $1,000 deposit into these special investment accounts.
Formally established under the One Big Beautiful Bill Act, Trump Accounts (officially indexed as 530A accounts) act like a traditional IRA for anyone under 18.
Parents, relatives, or employers can contribute up to $5,000 a year in after-tax cash. By law, the money must be invested in low-cost index funds mirroring the S&P 500 or other broad U.S. equities.
The funds are completely locked until the child turns 18.
At age 18, the child takes control and can withdraw money penalty-free to buy a first home, pay for college, or start a business.
Otherwise, it permanently rolls over into a standard traditional IRA for retirement.
Major billionaires have stepped in to fund kids born before 2025 who missed the government seed.
Over 6 million accounts have already been opened which are managed by "trumpaccounts.gov" or a dedicated app.
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