Trump's week in review: Trump Accounts for kids, abortion pill lawsuit intervention
4. Trump Accounts
At an event Wednesday, Trump unveiled his new initiative called the Trump Accounts. As the president explained, “Under this program, the U.S. government will automatically create a tax-free investment account for every newborn American child.”
“We’ll fund those personal accounts with a seed contribution of $1,000, which will compound and grow over the course of their lives and can grow into very, very substantial numbers,” he added. “Parents, employers, churches, states and loved ones will also be able to add up to $5,000 in additional money for these accounts. And with every modest contribution, Trump accounts should reach at least $50,000 in value by the time the child turns 18 and could be very substantially more than that.”
Additional details about the Trump Accounts available on the new initiative’s website reveal that the program is slated to launch on July 5, 2026, one day after the 250th anniversary of the signing of the Declaration of Independence. Trump Accounts will be created for all children born between Jan. 1, 2025 and Dec. 31, 2028.
Children will not have access to the money in the Trump Accounts until they turn 18. Funds in Trump Accounts are designed to be used to cover the costs of “qualified expenses like education, a first home purchase, or starting a business.” The website clarifies that “Withdrawals may be subject to restrictions and would be taxed at ordinary income rates.”
The Internal Revenue Service is creating a new form, Form 4547, that parents can use to create Trump Accounts for their children. The form will be available starting July 5. While parents, family members, friends and employers of the beneficiaries are not required to add additional money to the Trump Accounts, they can add up to $5,000 per year.
Ryan Foley is a reporter for The Christian Post. He can be reached at: ryan.foley@christianpost.com
