Particle.news
Download on the App Store

Michael and Susan Dell Pledge $6.25 Billion to Expand 'Trump Accounts' to 25 Million Children

The pledge targets children up to age 10 in lower‑median‑income ZIP codes, extending seed money beyond the federal newborn window.

Overview

  • Announced at the White House on GivingTuesday, the Dells’ commitment will deposit about $250 into each eligible child’s account that falls outside the federal $1,000 newborn grants.
  • Under the One Big Beautiful Bill Act, the Treasury will seed $1,000 for babies born from 2025 through 2028, with account sign‑ups slated to begin on July 4, 2026.
  • Invest America says the donation could reach nearly 80% of U.S. children age 10 and under across roughly 75% of ZIP codes, with eligibility focused on areas where median household income is under $150,000.
  • Trump Accounts are designed to invest in low‑cost index funds, accept private contributions up to $5,000 a year and employer contributions up to $2,500, and restrict withdrawals until age 18 before IRA‑style treatment applies.
  • Key implementation details remain pending Treasury and IRS guidance, including account custodians, precise tax treatment, investment vehicle eligibility and whether enrollment will be automatic.