The U.S. Department of the Treasury announced it will accept large philanthropic contributions of publicly traded stock to support Trump Accounts, the federal child investment program launching July 4 to coincide with America’s 250th anniversary.
Under the new process, eligible philanthropic contributors may transfer approved publicly traded stock to Treasury, which will then distribute the funds to eligible children’s accounts consistent with donor instructions and applicable law.
“Today’s announcement makes it easier for philanthropists to help American children build long-term financial security,” said Treasury Secretary Scott Bessent. “By accepting contributions of publicly traded stock, Treasury is creating a practical pathway for large-scale private giving to support the next generation.”
The announcement comes as more than six million families have already signed up for Trump Accounts ahead of the official launch, with a wave of major philanthropic commitments backing the program.
The largest single pledge came from Michael and Susan Dell, who committed $6.25 billion — a figure Michael Dell said was chosen to align with the 250th birthday of the United States — to seed accounts for roughly 25 million children ages 10 and under who live in ZIP codes with median family incomes of $150,000 or less. Those children, born before the January 2025 cutoff for the federal government’s $1,000 seed contribution, will each receive $250 once their parents activate an account.
Hedge fund founder Ray Dalio and his wife, Barbara, pledged $75 million for children under age 10 in Connecticut, while investor Brad Gerstner committed $250 for every child under age 5 in Indiana. Several major companies, including Uber, Intel, IBM, Nvidia and Steak ‘n Shake, also plan to add Trump Account contributions to their employee benefits packages.
Treasury also announced the investment lineup for Trump Accounts at launch. All contributions will initially be invested in the State Street SPDR Portfolio S&P 500 ETF (SPYM), a low-cost exchange-traded fund tracking the S&P 500 Index. Four additional low-cost index fund options will become available in the coming months, including the iShares Core S&P 500 ETF (IVV), the Vanguard Total Stock Market ETF (VTI), the State Street SPDR Portfolio S&P 1500 Composite Stock Market ETF (SPTM) and the iShares Core S&P Total U.S. Stock Market ETF (ITOT). Parents or guardians will be able to choose among the options once Treasury makes that functionality available.
Under the program, the federal government contributes $1,000 to accounts for U.S. citizen children born between January 1, 2025, and December 31, 2028. Accounts can be opened for older children — up to age 18 by the end of the calendar year — though they do not receive the $1,000 federal seed contribution. Parents may contribute up to $2,500 annually in pretax income, with total annual contributions capped at $5,000, though contributions from governments and charitable organizations do not count toward that limit. Funds are locked until the child turns 18, at which point they may be withdrawn for education, a first home purchase or a business startup.