Overview

• The White House convened top executives from Dell, Uber, Goldman Sachs and other major firms at a June 9 roundtable to announce collective investments into the accounts for employees’ children.
• Each newborn born between January 1, 2025, and December 31, 2028, would receive a $1,000 government seed deposit in a tax-deferred index fund.
• Guardians can contribute up to $5,000 annually, with funds accessible at age 18 for expenses such as college tuition or a home down payment.
• The accounts are a provision of the One Big Beautiful Bill, which passed the House on May 22 and is now under scrutiny in the Senate.
• Some financial advisors warn that the new accounts may yield lower incentives and returns than established savings options like 529 plans.