The Trump Accounts app has officially launched! Nearly 6 million children are now enrolled in Trump Accounts, created under the Working Families Tax Cuts Act, which I voted to pass last summer, historic legislation that enacts the largest tax cut for working- and middle-class families in American history.
How it works:
- Eligible newborns will receive a one-time $1,000 federal seed deposit, and thanks to a $6.25 billion private philanthropic commitment from Michael and Susan Dell, millions of children in qualifying communities will receive an additional contribution.
- Every account will be opened in the child’s name, with the parents or guardians listed as custodians until the child turns 18. Funds will remain inaccessible until January 1st of the year when the child turns 18.
- Families can contribute up to $5,000 annually, while employers can contribute up to $2,500 annually. These contributions will be invested into the S&P 500 or other diversified American equities to maximize potential returns over time.
Even if no additional contributions are made, the initial federal seed deposit can potentially grow to an estimated $5,800 over 18 years. To open an account, parents can complete IRS form 4547 when filing their taxes or by visiting trumpaccounts.gov.
Working with President Trump, the new Trump Accounts will give millions of American children a real opportunity to achieve the American Dream by building savings and financial opportunity from the day they are born.
Congressman Daniel Webster represents The Villages in the U.S. House of Representatives.