Tech magnates Michael and Susan Dell revealed on Tuesday their commitment of $6.25 billion to establish around 25 million new “Trump Accounts” designed for children throughout the nation.
Each of these accounts will begin with a $250 deposit, aimed at kids who did not meet the criteria for receiving the $1,000 federally funded “Trump Accounts” available for infants born following January 1, 2025.
“The funds will be allocated to the majority of children aged 10 and younger born before the eligibility date for the federal newborn grant,” stated the Dells in a release from their foundation.
“There may also be potential benefits for children older than 10, contingent on the availability of funds following the initial enrollments,” added the Dell family. “This initiative is a highly effective and straightforward measure that can assist families in starting their savings right away.”
The Dells express their belief that “this initiative will broaden opportunities, fortify communities, and assist more children in taking charge of their future.”
According to the nonprofit Invest America, the gift from the Dell family “is anticipated to benefit nearly 80% of children aged 10 and under across 75% of ZIP codes in the United States.”
For children born from January 1 to December 31, 2028, an account will be established with a $1,000 investment from the U.S. Treasury, as part of the newly enacted One Big Beautiful Bill legislation.
These accounts will qualify for further contributions up to $5,000 yearly until the child turns 18, and withdrawals from these accounts will not be allowed until the beneficiary reaches that age.
Investment options for Trump accounts are limited to low-cost index funds or ETFs that replicate the S&P 500 or “another American stock index,” as indicated by the White House Council of Economic Advisers.
“The investment accounts are designed to be straightforward, secure, and intended for value appreciation through market growth over time,” the Dell family remarked.
The Dell family ranks among the wealthiest in the United States, with a net worth close to $150 billion, based on Bloomberg Billionaires data. Their wealth primarily stems from Dell Technologies, a company established by Michael Dell in 1984.
In recent years, the surge in AI technology has greatly increased the value of Dell stock, as the company supplies servers and other tech resources.
