Trump Accounts App Goes Live: A New Way for Parents to Build Wealth for Kids

The core aim of Trump Accounts is to create tax-advantaged investment accounts for U.S. citizens under the age of 18. The program seeks to encourage long-term savings and cultivate financial security and literacy from an early age, giving the next generation a head start. Children born between January 1, 2025, and December 31, 2028, who are U.S. citizens with a Social Security number, are eligible to receive a one-time $1,000 seed contribution from the federal government.

While older children born before 2025 are also eligible to have accounts, they will not receive this initial federal deposit, though eligibility was expanded in December 2025 to include them. Parents or legal guardians can initiate the process by submitting IRS Form 4547 when filing their taxes or directly through the trumpaccounts.gov website, which Secretary Bessent unveiled on December 17, 2025. These accounts function as custodial-style traditional IRAs for minors, legally owned by the child but administered by an adult until the child reaches 18.

Families can make annual contributions of up to $5,000, which can come from parents, guardians, relatives, friends, or even employers. Notably, employer contributions, capped at $2,500, do not count toward the employee's taxable income, and the annual limits are indexed to inflation to keep pace with economic changes. Investment options within Trump Accounts are specific, restricted to low-cost index mutual funds or exchange-traded funds (ETFs) that track broad U.S. equity indices, such as the S&P 500, with an expense cap of 0.10%. The newly launched app will initially offer an S&P 500 ETF as the default investment choice, providing a straightforward option for new users.

Treasury Secretary Bessent has been a vocal proponent of the program, describing Trump Accounts as "the most groundbreaking policy innovation of modern times." He emphasized that the initiative is "rooted in a vision of making every American a shareholder in the economy," highlighting the broader economic philosophy underpinning the program.

President Trump himself weighed in on the initiative, stating, "This is a pro-family initiative that will help millions of Americans harness the strength of our economy to lift up the next generation. And they'll really be getting a big jump on life." The White House further promoted the app's utility with the statement, "Manage everything. Watch the growth. All in ONE place," underscoring its intended convenience for users.

Scott Bessent, the 79th Secretary of the Treasury, brings a wealth of experience to this role. Nominated by Donald Trump on November 22, 2024, for his second presidential term, Bessent was confirmed by the Senate with a 68-29 vote on January 27, 2025, and sworn in the following day. With a 40-year career in global investment management, including founding Key Square Capital Management in 2015 and serving as CIO of Soros Fund Management, Bessent is recognized as a currency and fixed income specialist. He also holds the distinction of being the first openly gay Treasury Secretary in U.S. history and is a long-time advocate for financial literacy and education programs, making him a fitting figure to champion this initiative.

Upon Bessent's nomination, President Trump expressed confidence that Bessent would "help me usher in a new Golden Age for the United States, as we fortify our position as the World's leading Economy, Center of Innovation and Entrepreneurialism, Destination for Capital, while always, and without question, maintaining the U.S. Dollar as the Reserve Currency of the World." This ambitious vision frames the Trump Accounts program as a key component in a broader strategy to bolster American economic strength. The Council of Economic Advisers has provided compelling estimates: a $1,000 initial deposit for a child born in 2026 could potentially grow to $303,800 by age 18, and an impressive $1,091,900 by age 28 with maximum annual contributions. Even with just the initial $1,000 federal deposit, funds could reach approximately $5,800 by age 18.

The launch of the Trump Accounts app and the impending full rollout of the program represent a significant federal effort to democratize investment and instill financial discipline from a young age. By providing accessible tools and foundational capital, the initiative aims to empower millions of American children to build substantial wealth, setting them on a path toward greater economic independence and security in their adult lives.