Every American baby born this year just got a trust fund. Sort of.
The Trump administration has officially rolled out “Trump Accounts,” a program that seeds $1,000 in federal money into investment accounts for US children. The catch: the money goes into S&P 500 index funds, not Bitcoin.
How the accounts actually work
The program targets US citizen children born between January 1, 2025, and December 31, 2028. Each qualifying newborn receives a one-time $1,000 deposit from the Treasury Department, automatically invested in low-cost mutual funds or ETFs that track major US equity indices like the S&P 500.
The accounts function similarly to traditional retirement accounts, locked until the child turns 18. Parents and guardians can contribute up to $5,000 annually, and employers or other family members can chip in too.
