Meet the new Trump fund

[Votto]

Your baby could qualify for $1,000 with a Trump Account. Here's what to know

Claiming to give every child “a shot at financial freedom,” President Donald Trump is unveiling the new Trump Accounts initiative, which gives $1,000 to every newborn if their parents open an account.

apnews.com

Your baby could qualify for $1,000 with a Trump Account. Here’s what to know​

As a continuation of President Donald Trump ‘s pitch to Americans on affordability and the economy under his administration, the U.S. Treasury and White House are celebrating the upcoming launch of a program they view as a key milestone: Trump Accounts.

A provision of Trump’s tax legislation, Trump Accounts are meant to give $1,000 to every newborn, so long as their parents open an account. That money is then invested in the stock market by private firms, and the child can access the money when they turn 18.

A U.S. Treasury event Wednesday brought together an assortment of politicians and celebrities — from Texas Republican Sen. Ted Cruz to rapper Nicki Minaj and NBC’s “Shark Tank” judge Kevin O’Leary — to discuss the program and its potential impact on the economy. Backers of Trump Accounts have said they’re a way to help children from low-income households build wealth.

The investments will put money “in the hands of young Americans who otherwise have really started out with nothing,” Trump said. He also called on employers across the country to make matching Trump Accounts contributions for employee benefits, as some companies have already pledged to do so.

“Every president in modern history has left our children with nothing but debt,” Trump said. “But under this administration, we’re going to leave every child with real assets and a shot at financial freedom.”

Here’s what you need to know about Trump Accounts and how to claim them.

What is a Trump Account?​

It’s a new savings tool where money is invested in the stock market on behalf of a child. The child can’t access the money until they turn 18 and can only use it for specific purposes, such as paying tuition, starting a business or making a down payment on a home.

After a parent opens an account, the U.S. Treasury will contribute $1,000 for newborns. Private banks and brokerages will manage the money, which must be invested in U.S. equity index funds that track the stock market and charge the accounts no more than 0.10% in annual fees.

Parents can contribute up to $2,500 annually in pretax income, much like they do for retirement accounts. Parents’ employers, relatives, friends, local governments and philanthropic groups can also pitch in. Yearly contributions are capped at $5,000, but contributions from governments and charities don’t count toward that total.

“We’re doing something much better than giving the next generation a handout,” Trump said. “We’re giving them ownership of America’s future.”

Who gets $1,000?​

As part of the initiative’s launch, parents of older children are also encouraged to open accounts, but they won’t get the $1,000 bonus. That money is reserved for babies born during the calendar years of the Trump administration.

To qualify for the $1,000 seed money, a baby must be a U.S. citizen, have a Social Security number and be born between Jan. 1, 2025, and Dec. 31, 2028. Any parent can open an account for a qualifying child, regardless of the parent’s immigration status.

It’s important to note that the child won’t be able to access the money until they turn 18, except in rare circumstances, so it can’t help with immediate expenses. And disbursements from the accounts will be subject to taxes.

Can older kids get any bonuses for their Trump Account?​

Some can, thanks to contributions from some of the country’s wealthiest entrepreneurs.

In December, billionaires Michael and Susan Dell announced a $6.25 billion donation that will allow some children who are 10 and under to receive $250 in seed money if their parents open an account. That money is reserved for kids who live in ZIP codes with a median family income of $150,000 or less and who won’t get the $1,000 seed money from the Treasury.

A few weeks later, hedge fund founder Ray Dalio and his wife Barbara pledged $75 million for kids under 10 in Connecticut, where Dalio lives. That would amount to $250 for 300,000 children in qualifying ZIP codes.

At Wednesday’s event, Trump announced another pledge from investor Brad Gerstner to donate $250 into Trump Accounts for every child under 5 in Indiana.

Several major companies also plan to add Trump Accounts contributions to their benefits packages, including Uber, Intel, IBM, Nvidia and Steak ‘n Shake. The administration has encouraged such donations through what U.S. Treasury Secretary Scott Bessent calls the “50 State Challenge.”

How do I open a Trump Account for my kids?​

The accounts won’t be open for contributions until July 2026, but parents of eligible kids can sign up using Form 4547 from the Internal Revenue Service. Parents can fill out the form when filing taxes this year or when the administration opens an online portal this summer, according to the Trump Accounts website.

Registering for a Trump Account is required for a child to receive the money. In May, parents who sign up will get information about how to finish opening the accounts

What’s the idea behind the accounts?​

Backers of the accounts say they want to introduce more people to the stock market and give even children born into poverty a chance to benefit from it. Supporters also say the accounts bolster capitalism at a time when openly socialist candidates are growing more popular.

“The answer to more socialism is more capitalism,” Gerstner said at Wednesday’s event. “This makes every child in America a capitalist from birth.”

About 58% of U.S. households held stocks or bonds in 2022, according to the U.S. Securities and Exchange Commission, though the wealthiest 1% owned almost half the value of stocks in that same year.

Before Trump created the accounts, California, Connecticut and the District of Columbia were piloting “baby bonds” programs that are similar to Trump Accounts in some ways. Several other states, including Maryland, are weighing programs.

But those programs are targeted for youth growing up in poverty or foster care, plus children who lost a parent to COVID-19. Wealthier children don’t benefit. They’re also managed by the state, not private investment firms.

It is a start in the right direction. As Trump said, if the government can't convince you not to have children or have an abortion because you can barely make ends meet in the economy they have provided, your children will inherit a tremendous looming debt with a less prosperous economy thanks to their tax and spending addictions. It is the first time in history that the US government is actually investing in the next generation.

 

[TNHarley]

Awesome! I love socialism.
I especially love paying for other peoples children.

 

[Votto]

Awesome! I love socialism.
I especially love paying for other peoples children.

The best way to do it would be for parents to be able to give pretax money into accounts for their children without restrictions, and have their employers be able to donate getting tax deductions along with it.

And for poorer children, increase the tax breaks for corporations to make it worth their while, even for people who don't work for them.

I would most like the government to do this with health care, however. People should be able to give pretax money into accounts used only for their health care in investment accounts, again, without restrictions and be able to use it for their own health care as well as their family and even give it to friends if they so wish.

Doing so would free people from the chains of handouts from the government and private health care insurance companies.

You could then begin to remove larger and larger segments of the population off the Medicare/Medicaid programs.

 

[TNHarley]

The best way to do it would be for parents to be able to give pretax money into accounts for their children without restrictions, and have their employers be able to donate getting tax deductions along with it.

And for poorer children, increase the tax breaks for corporations to make it worth their while, even for people who don't work for them.

There are many ways it could have been done. However, our president, just like all socialists, want the govt to control everything, and the taxpayers to pay for it.

 

[Votto]

There are many ways it could have been done. However, our president, just like all socialists, want the govt to control everything, and the taxpayers to pay for it.

Trump is one of the last ones trying to involve private funds to be in the mix along with the market.

Once he is gone, it will likely all end up being a straight hand out for pretty much everything, directly from the government.

And I have to say, AI is the wild card here are I hear people saying that people will no longer have to work. It sends chills up my spine thinking that if and when that happens, you will be completely dependent on universal income of some sort as you will have no more options to work for a living.

 

[Winston]

Wow, the ultimate con job. Here is a thousand bucks, you can't spend it for 18 years. It has to be invested in equities. Why not crypto?

So, about four million births a year. That is four BILLION dollars flowing into equities every year from the US government. Four BILLION every year that can't be pulled out. It is pretty easy to figure out who benefits from this and no, it is not the children of the poor.

 

[BrokeLoser]

Wow, the ultimate con job. Here is a thousand bucks, you can't spend it for 18 years. It has to be invested in equities. Why not crypto?

So, about four million births a year. That is four BILLION dollars flowing into equities every year from the US government. Four BILLION every year that can't be pulled out. It is pretty easy to figure out who benefits from this and no, it is not the children of the poor.

Cool story bruh…Go further, extrpolate the numbers for us. What’s the value of that $1k after it sits for 18 years?

 

[Luckyone]

Your baby could qualify for $1,000 with a Trump Account. Here's what to know

Claiming to give every child “a shot at financial freedom,” President Donald Trump is unveiling the new Trump Accounts initiative, which gives $1,000 to every newborn if their parents open an account.

apnews.com

Your baby could qualify for $1,000 with a Trump Account. Here’s what to know​

As a continuation of President Donald Trump ‘s pitch to Americans on affordability and the economy under his administration, the U.S. Treasury and White House are celebrating the upcoming launch of a program they view as a key milestone: Trump Accounts.

A provision of Trump’s tax legislation, Trump Accounts are meant to give $1,000 to every newborn, so long as their parents open an account. That money is then invested in the stock market by private firms, and the child can access the money when they turn 18.

A U.S. Treasury event Wednesday brought together an assortment of politicians and celebrities — from Texas Republican Sen. Ted Cruz to rapper Nicki Minaj and NBC’s “Shark Tank” judge Kevin O’Leary — to discuss the program and its potential impact on the economy. Backers of Trump Accounts have said they’re a way to help children from low-income households build wealth.

The investments will put money “in the hands of young Americans who otherwise have really started out with nothing,” Trump said. He also called on employers across the country to make matching Trump Accounts contributions for employee benefits, as some companies have already pledged to do so.

“Every president in modern history has left our children with nothing but debt,” Trump said. “But under this administration, we’re going to leave every child with real assets and a shot at financial freedom.”

Here’s what you need to know about Trump Accounts and how to claim them.

What is a Trump Account?​

It’s a new savings tool where money is invested in the stock market on behalf of a child. The child can’t access the money until they turn 18 and can only use it for specific purposes, such as paying tuition, starting a business or making a down payment on a home.

After a parent opens an account, the U.S. Treasury will contribute $1,000 for newborns. Private banks and brokerages will manage the money, which must be invested in U.S. equity index funds that track the stock market and charge the accounts no more than 0.10% in annual fees.

Parents can contribute up to $2,500 annually in pretax income, much like they do for retirement accounts. Parents’ employers, relatives, friends, local governments and philanthropic groups can also pitch in. Yearly contributions are capped at $5,000, but contributions from governments and charities don’t count toward that total.

“We’re doing something much better than giving the next generation a handout,” Trump said. “We’re giving them ownership of America’s future.”

Who gets $1,000?​

As part of the initiative’s launch, parents of older children are also encouraged to open accounts, but they won’t get the $1,000 bonus. That money is reserved for babies born during the calendar years of the Trump administration.

To qualify for the $1,000 seed money, a baby must be a U.S. citizen, have a Social Security number and be born between Jan. 1, 2025, and Dec. 31, 2028. Any parent can open an account for a qualifying child, regardless of the parent’s immigration status.

It’s important to note that the child won’t be able to access the money until they turn 18, except in rare circumstances, so it can’t help with immediate expenses. And disbursements from the accounts will be subject to taxes.

Can older kids get any bonuses for their Trump Account?​

Some can, thanks to contributions from some of the country’s wealthiest entrepreneurs.

In December, billionaires Michael and Susan Dell announced a $6.25 billion donation that will allow some children who are 10 and under to receive $250 in seed money if their parents open an account. That money is reserved for kids who live in ZIP codes with a median family income of $150,000 or less and who won’t get the $1,000 seed money from the Treasury.

A few weeks later, hedge fund founder Ray Dalio and his wife Barbara pledged $75 million for kids under 10 in Connecticut, where Dalio lives. That would amount to $250 for 300,000 children in qualifying ZIP codes.

At Wednesday’s event, Trump announced another pledge from investor Brad Gerstner to donate $250 into Trump Accounts for every child under 5 in Indiana.

Several major companies also plan to add Trump Accounts contributions to their benefits packages, including Uber, Intel, IBM, Nvidia and Steak ‘n Shake. The administration has encouraged such donations through what U.S. Treasury Secretary Scott Bessent calls the “50 State Challenge.”

How do I open a Trump Account for my kids?​

The accounts won’t be open for contributions until July 2026, but parents of eligible kids can sign up using Form 4547 from the Internal Revenue Service. Parents can fill out the form when filing taxes this year or when the administration opens an online portal this summer, according to the Trump Accounts website.

Registering for a Trump Account is required for a child to receive the money. In May, parents who sign up will get information about how to finish opening the accounts

What’s the idea behind the accounts?​

Backers of the accounts say they want to introduce more people to the stock market and give even children born into poverty a chance to benefit from it. Supporters also say the accounts bolster capitalism at a time when openly socialist candidates are growing more popular.

“The answer to more socialism is more capitalism,” Gerstner said at Wednesday’s event. “This makes every child in America a capitalist from birth.”

About 58% of U.S. households held stocks or bonds in 2022, according to the U.S. Securities and Exchange Commission, though the wealthiest 1% owned almost half the value of stocks in that same year.

Before Trump created the accounts, California, Connecticut and the District of Columbia were piloting “baby bonds” programs that are similar to Trump Accounts in some ways. Several other states, including Maryland, are weighing programs.

But those programs are targeted for youth growing up in poverty or foster care, plus children who lost a parent to COVID-19. Wealthier children don’t benefit. They’re also managed by the state, not private investment firms.

It is a start in the right direction. As Trump said, if the government can't convince you not to have children or have an abortion because you can barely make ends meet in the economy they have provided, your children will inherit a tremendous looming debt with a less prosperous economy thanks to their tax and spending addictions. It is the first time in history that the US government is actually investing in the next generation.

Sure, I am ready to sign my grandchildren to this account! Oh, wait, is this possibly a scam?


AI Overview


The "scam" surrounding the official "Trump Account" program generally refers to 1) third parties attempting to commit fraud, and 2) criticisms that the program's benefits are a "backdoor" for privatizing Social Security or offer less advantageous tax treatment than other savings options.

The Official Program

The "Trump Account" is a legitimate, government-supported investment program established as a provision of recent tax legislation.

• Eligibility: Children born as U.S. citizens between January 1, 2025, and December 31, 2028, are eligible.
• Funding: The U.S. Treasury makes a one-time, $1,000 "seed" contribution to an investment account for the eligible child, which is invested in a low-cost stock index fund.
• Access: The money is intended to grow over time and generally cannot be withdrawn by parents or children until the child reaches adulthood (around age 18).
• Contributions: Parents, employers, and others can make additional contributions of up to $5,000 annually.

The "Scam" Aspects

The term "scam" in popular discourse has two main connotations regarding this program:

• Fraudulent Activity (Actual Scams): Because the program is new, fraudsters are attempting to exploit public interest. Scammers may contact individuals via phone, email, or text message asking for a child's Social Security number or a "processing fee" to unlock funds.
  • Scam Alert: The legitimate funds are not available for immediate withdrawal, and you should never pay a fee or provide sensitive information to an unsolicited contact claiming to help you access them now. The official program is handled through the IRS channels or the official Invest America website.
• Policy Criticism (Perceived "Scam"): Critics argue the program is a political maneuver with potential negative long-term implications.
  • Social Security Privatization: Treasury Secretary Scott Bessent's comment that the accounts could be a "backdoor for privatizing Social Security" by reducing reliance on the system has fueled significant debate.
  • Inferior Tax Treatment: Some financial experts suggest that personal contributions to these accounts have less favorable tax treatment compared to existing options like a 529 plan for education or a standard investment account. They recommend accepting the government's initial $1,000 contribution but using other vehicles for additional savings.
  • Misinformation: Content creators on social media have also created confusion by incorrectly marketing the "Trump Account" as an immediate stimulus payment or a boost to current tax refunds, which is false.

Let me hold off on this. I have no interest in being in a program run by the biggest scam artist of all time.

 

[Winston]

Cool story bruh…Go further, extrpolate the numbers for us. What’s the value of that $1k after it sits for 18 years?

At six percent, a little over two grand. In 18 years I doubt that would cover books for one semester.

 

[BrokeLoser]

At six percent, a little over two grand. In 18 years I doubt that would cover books for one semester.

The fund is projected to be valued at $5-6k if no contributions are ever made.

 

[1srelluc]

Cool story bruh…Go further, extrpolate the numbers for us. What’s the value of that $1k after it sits for 18 years?

Depending on the return, figure around 3K per thousand at around 5%.

But yeah, the vile dems will find a way to **** it up because, you know, Trump.

 

[TheInfiniteSadness]

Cool story bruh…Go further, extrpolate the numbers for us. What’s the value of that $1k after it sits for 18 years?

Roughly $5500 at 10% return minus 10% tax at withdrawal so $5000.

 

[Winston]

Depending on the return, figure around 3K per thousand at around 5%.

But yeah, the vile dems will find a way to **** it up because, you know, Trump.

Math is challenging for you guys isn't it. Rule of 72. Divide the return into 72, that is how many years it will take the fund to double. 5 into 72, 14 and a half years to double to two thousand. To return three thousand per one thousand is going to take an 8% return year after year.

 

[TNHarley]

And the socialist party of America grows by the day.
#MAGA

 

[22lcidw]

And the socialist party of America grows by the day.
#MAGA

Some of this is designed for the progressives to not get their hands on resources. They will have to reverse a percentage of what Trump has done or let things expire. People do not like losing things. We see what the temporary ACA fix has done. Teh same ACA that was supposed to be really cheap for everyone.

 

[Winston]

Some of this is designed for the progressives to not get their hands on resources. They will have to reverse a percentage of what Trump has done or let things expire. People do not like losing things. We see what the temporary ACA fix has done. Teh same ACA that was supposed to be really cheap for everyone.

Oh come on, this is total horseshit. Let me crunch some numbers, but come on. First, it puts nothing into anyones account other than a number in a ledger. The investment must be in an index fund. Not a particular stock. The government is going to stroke a thousand dollar check, in today's dollars, to an investment firm. Now, do you think they are going to take that thousand bucks, buy an index fund, charge you .1% carrying fee, and maintain the account? LMAO, I got some ocean front land in Arizona you might be interested in.

The investment firm will finance it with options. Long term calls to lock any gains, short term puts to hedge. The account won't be backed with securities, it will even say as much on the disclaimer. While that first year, I doubt the investment firm has two hundred dollars invested in the account.

And it gets better. The money can only be used for certain purposes, like college tuition, down payment on a home, that sort of thing. Who gets the money if they don't spend it on those things? What is the time frame? What happens if the child dies? Can the money be rolled over to a sibling or a dependent?

I am going to say the money reverts to the firm, that there is no death benefit, and there is no rollover capability. A whole reinsurance group will spring up, firms will simply insure the damn money and bank the difference in cost. No different than life insurance. In fact, would not a single premium, one thousand dollar, life insurance policy issued at birth out perform this damn con job?

 

[d0gbreath]

Awesome! I love socialism.
I especially love paying for other peoples children.

Fear not. You can lump that in with the 5k Doge payments and the 2k tariff payments. Donnie is famous for stiffing everyone.

 

[JWBooth]

That’s some funny shit. Given the rate of money printing and devaluation, a kid will be able to go buy a snickers at maturity.

 

[playtime]

<coughcoughanothergriftbydonnycoughcough>