Trump Unveils “Trump Accounts” to Boost Child Wealth, Faces Controversy Over Funding

Former President Donald Trump has proposed “Trump accounts,” a plan to provide every American child born between Dec. 31, 2024, and Jan.

literacy, allowing families to contribute up to $5,000 annually. With average market returns, the accounts could grow to over $500,000 by age 25.

Roughly 15–16 million children could benefit, with an initial cost of at least $15 billion. The accounts would be managed by guardians until

adulthood and structured like IRAs. Trump calls the program “pro-family” and believes market participation will foster economic responsibility.

However, critics argue the plan’s funding—redirected from programs like Medicaid and SNAP—could harm vulnerable Americans.

While some Republicans praise it as innovative, Elon Musk and others question its fiscal efficiency and market dependence.

Additional tax reforms, including overtime and tip exemptions and a larger child tax credit, are included in the broader legislative package.

The plan’s success depends on market performance, technological rollout, and bipartisan support. If passed, it could reshape

how Americans approach financial planning from birth—though its boldness comes with significant political and economic risks.