The U.S. Treasury has launched the Trump Accounts app, marking a significant step in implementing a federal program aimed at helping children save money for adulthood, as reported by multiple outlets including CBS News and Reuters.
Key Takeaways
The U.S. Treasury has launched the Trump Accounts app, allowing parents to manage tax-preferred investment accounts for their children. Eligible children will receive $1,000 from the government on July 4, with annual contributions capped at $5,000.
- Trump Accounts app launches nationwide
- Government contributes $1,000 per eligible child starting July 4
- Annual contributions capped at $5,000 per child
- App designed in partnership with Robinhood and Bank of New York Mellon
- Millions of Americans have already signed up
The app allows parents or guardians to manage tax-preferred investment accounts on behalf of their kids. Beginning July 4, the U.S. government will make an initial $1,000 contribution to eligible children with accounts, which will be invested in the stock market. According to CBS News and CNBC, account holders can also start making personal contributions that day.
Excluding the government's donation, annual contributions are capped at $5,000 per child, with certain exceptions. Treasury Secretary Scott Bessent emphasized the app's role in building long-term financial strength for households. The Treasury Department will send emails to activate accounts in phases between now and July 4.
The Trump Accounts program is available to U.S. children born between January 1, 2025, and December 31, 2028. Parents or guardians must manage the accounts until the child turns 18. At that age, children can use the funds for qualified expenses such as education, buying a home, or starting a business.
According to Reuters and CNBC, major companies like JPMorgan Chase, Wells Fargo, Bank of America, Visa, SoFi, BlackRock, Robinhood, and Charles Schwab have pledged contributions to the accounts. The app was designed in partnership with trading platform Robinhood and custodian bank BNY Mellon.
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