President Trump promotes new federal "Trump accounts" as a way for children to build significant wealth by age 18.

The administration announced the launch of "Trump accounts," new federal investment and savings accounts designed to help children accumulate wealth. Under the One Big Beautiful Bill Act, the government will seed accounts with $1,000 for children born between 2025 and 2028 who have a valid Social Security number. President Trump said these accounts could grow to hundreds of thousands of dollars by the time children reach adulthood. However, financial experts note that reaching such high balances requires significant annual contributions from parents, relatives, or employers, who can contribute up to $5,000 per year. While the administration highlighted the program's potential to make children from low-income homes "very rich," some analysts cautioned that families living paycheck to paycheck may struggle to find the surplus cash needed for maximum growth. The accounts are initially invested in a low-cost S&P 500 index fund and will grow tax-deferred until the child turns 18. The administration also noted that over 50 companies have already committed to making tax-free contributions for their employees' children.

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