President Donald Trump is hosting a White House event on Monday touting a policy in the One Big Beautiful Bill Act that would create investment accounts seeded with $1,000 for all newborn U.S. citizen children.
The event is expected to be attended by the CEOs of several firms who plan to contribute to the accounts on behalf of their employees, including Dell, Uber and Goldman Sachs. The event was first reported by NBC News.
The provision would launch a pilot program to create so-called “Trump Accounts” for children born between Jan. 1, 2024 and Jan. 1, 2029, which would be seeded with a $1,000 investment from the federal government. The investment would go into a tax-deferred, low-cost index fund tracking the overall stock market, which would be controlled by the child’s guardians.
Additional contributions of up to $5,000 a year could be made to the account throughout the child’s life. Starting at age 18, the account beneficiary would be able to use it to pay for their education, home purchases or expenses related to starting a business.
OVER 300 ECONOMISTS URGE TRUMP, GOP LEADERS TO EXTEND TAX CUTS BEFORE MASSIVE TAX HIKE HITS AMERICANS
“The passage of the One Big Beautiful Bill will literally change the lives of working, middle class families across America by delivering the largest tax cuts in history, increasing the child tax credit, AND by creating this incredible new ‘Trump Account’ program, which will put the lives of young Americans on the right financial path!” White House press secretary Karoline Leavitt said in a statement.
Michael Dell, CEO of Dell Technologies, said in a statement that, “The creation of investment accounts for every child will compound into substantial nest eggs providing support for education, home ownership, and starting families.”
“Dell Technologies will proudly match dollar for dollar the government’s seed investment into these accounts for all the children born to Dell team members. This bold move to an ownership society for all included in the Reconciliation Bill will have profound and far reaching benefits for the country,” he added.
TRUMP SPENING BILL TO CUT TAXES BY $3.7T, ADD $2.4T TO DEFICIT, CBO SAYS
Brad Gerstner, the founder of Invest America, said in a statement that the bill “will uplift every American child in every community by giving them private ownership of an investment account with $1000 from birth.”
“With just $750 of additional savings per year from family, employers, church, or philanthropy, these accounts are worth $50k by age 18,” Gerstner said. “A game changer for every family in America – especially those families too often left out of America’s upside.”
The White House’s “Trump Accounts” provision was included in the House-passed version of the One Big Beautiful Bill Act late last month.
The bill is currently under consideration in the Senate, which is expected to take up its version of the bill in the next few weeks. If the Senate passes a revised version of the bill, the House would have to vote on the bill again for it to reach the president’s desk and be signed into law.
Read the full article here
