A new tax-advantaged savings program created under President Donald Trump’s One Big Beautiful Bill Act is set to give American newborns a financial head start, while potentially adding some complexity to family finances and tax planning.
Under the bill, babies born in the United States between Jan. 1, 2025, and Dec. 31, 2028, will receive $1,000 from the federal government deposited into newly created “Trump Accounts,” investment vehicles modeled loosely on individual retirement accounts (IRA).
At a White House event in mid-June, Trump described it as a “pro-family initiative that will help millions of Americans harness the strength of our economy to lift up the next generation, and they’ll really be getting a big jump on life.”…
Tax Implications of $1,000 ‘Trump Accounts’ for Children
