5 million kids already in on new investment model: How Trump Accounts are coming along

About 5 million children in the country have already enrolled in Trump Accounts, a new tax-advantaged investment vehicle created through a legislative provision pushed by President Donald Trump.

As stated by Treasury Secretary Scott Bessent during the "Invest in America" forum hosted by CNBC, approximately 5 million children are already part of the program. Of that total, about 1.2 million would be eligible to receive an initial contribution of $1,000 from the Treasury Department under a pilot program.

The accounts were established through the law known as the "One Big Beautiful Bill" and are designed as tax-deferred investment vehicles for minors. They are scheduled to officially launch on July 4.

Who can access the accounts and how do they work?

According to information published by CNBC, everyone under the age of 18 with a Social Security number can open an account. However, the initial $1,000 incentive is limited to children born between 2025 and 2028.

Bessent stressed that this public contribution is intended to be just a starting point. "The $1,000 is the starting point," he said, noting that more and more companies and philanthropists are pledging to match or supplement those funds.

The accounts can receive additional contributions from multiple sources, including charities and state or local governments, expanding their potential as a long-term savings tool.

Private sector involvement

The program has also drawn interest from the corporate sector. Michael Dell, chairman and CEO of Dell Technologies, announced commitments of $6.25 billion to support these accounts, suggesting that more contributions could be added in the future.

Dell noted that the model allows for specific initiatives, such as sponsoring communities, schools or even groups of children, as well as incentivizing educational achievement or participation in community service through additional contributions.

As for the financial infrastructure, Bank of New York Mellon will be responsible for managing the initial accounts, in collaboration with Robinhood, which is developing the associated digital application.