More Than 5 Million Kids Are Registered for Trump Accounts

More than 5 million children in the United States are signed up for Trump Accounts, Treasury Secretary Scott Bessent said on April 15.

The accounts are aimed at children up to age 18. About 1.2 million babies have so far been born during President Donald Trump’s second term, making them eligible for a federally funded pilot program that puts $1,000 directly into their accounts.

Parents can sign up their children while filing taxes, which are due on April 15, using IRS Form 4547. Parents can also visit TrumpAccounts.gov.

Children with Trump Accounts will be able to access the funds only after they turn 18, and they must use the money for a big expense such as college, starting a business, or buying a home.

There are many ways for parents to add money to the accounts so they can grow larger than the initial investment.

“The $1,000 is just the starting point that employers can contribute,” Bessent said during CNBC’s Invest in America Forum on April 15.

“Foundations can contribute. Great philanthropists like Michael and Susan [Dell] can contribute. We think 20 states are going to contribute.”

The Dells committed to donating an additional $250 into accounts for 25 million kids who grow up in low- and middle-income households.

Credit card companies will let users deposit their cashback rewards directly into the Trump Accounts.

The accounts are set to launch officially on July 4, 2026. Bessent said the money will go a long way for a child’s future.

“A couple weeks ago, I had the Mortgage Brokers Association in, and they said that of the mortgages that get started, only 30 percent get completed,” he said. “So [there’s a] 70 percent fall off rate, the fall off rate, it could be because the potential buyers don’t have $1,000 or $2,000 to pay for their credit scores [or] to pay for the title insurance.”

Bessent said that a few thousand dollars could help first-time homebuyers succeed.

“Five thousand dollars would have helped get those other 70 percent of people across the line,” he said.

Money in the accounts does not have to be withdrawn when the account holder turns 18. People can keep it there as long as they like, which would likely let the cash bloom even more.

The Trump administration estimated that if $1,000 of seed money is invested into a person’s Trump Account when he or she is born, it could compound to half a million dollars by the time he or she is ready to retire.

Alternative Proposed

Rep. Ayanna Pressley (D-Mass.) said she does not think that the accounts do enough to close the wealth gap in America.

Pressley suggested that the Trump administration should have backed the American Opportunity Accounts Act, proposed by her and Sen. Cory Booker (D-N.J.), which would create baby bonds for “every child, no matter their race, family income, or birth circumstances.”

But unlike the Trump plan, the government would deposit money every year into the accounts, as opposed to a one-time seed investment.