Want to Know What Trump Accounts Are? We've Got You!

President Donald Trump held a Trump Accounts Summit in Washington, D.C. on Jan. 28, and the event was to launch a new federal program for savings accounts, Trump Accounts.

Trump Accounts are part of the president's "Great Big Beautiful Bill," which was signed into law on July 4, 2025, according to the IRS. The president gushed over the Trump Accounts during the event, per The Hill.

“Decades from now," he said, "I believe the Trump accounts will be remembered as one of the most transformative policy innovations of all time."

So, what are Trump Accounts?

Trump Accounts are a federal savings account program that will deposit $1,000 into the savings accounts for every child born between 2025 and 2028, per USA Today. "Perhaps no provision of the 'Great Big Beautiful Bill' will prove more consequential than Trump accounts,'' Trump said at the summit.

Both Bank of America and JPMorganChase announced that they would match the government's contribution to the Trump Accounts. Tech billionaire Michael Dell announced he was donating more than $6 billion to Trump Accounts. The accounts are touted as "long-term financial security" for Americans by the Trump administration.

"We’re building long-term financial security for millions of children by creating tax-advantaged investment accounts for U.S. citizens under the age of 18," reads a statement on the Trump Accounts' website. "Coming in 2026."

Trump Accounts are basically savings accounts for kids that begin at birth. Families can deposit up to $5,000 every year into the accounts to maximize growth. Evan Morgan, who works for tax advisory group Kaufman Rossin, said of the Trump Accounts, "It’s an IRA for kids."

The funds will be automatically invested in American companies, and an app will reportedly show folks what stocks they own and how they’re performing.

"As they get older, they’ll learn about investing and watch their money compound in real time. They’ll gain more than just money. They’ll gain financial literacy," reads the website.

All children under 18 "with a valid Social Security Number" are eligible for the Trump Accounts, and parents or legal guardians can open an account and manage it on behalf of their kids. The child can access the funds when they are 18, or they can continue to let them grow.

Kids can also contribute to the Trump Accounts when they get a job and begin earning income. Employers can also contribute to Trump Accounts for their employees and their children, and corporations can contribute up to $2,500 to Trump Accounts on behalf of their employees' children, which will be tax-deductible.

Treasury Secretary Scott Bessent said Trump Accounts “will turn simple investments into life-changing money."

“Trump accounts are a generational down payment on the American dream,” he said.

People will be able to begin contributing to their children's Trump Accounts on July 5, 2026. Parents who want to open a Trump Account can do so via elections on the IRS Form 4547.