Billionaires Michael and Susan Dell announced a $6.25 billion pledge on Dec. 2, Giving Tuesday, to seed Trump Accounts for nearly 25 million American children, marking one of the largest philanthropic donations in U.S. history and boosting a new federal program aimed at building long-term wealth for the next generation.
Billionaires Michael and Susan Dell are donating $6.25 billion to deposit $250 into savings accounts for up to 25 million American children. This is going to positively impact a whole generation of children, but the mainstream media isn’t talking about this it all. Jeez, wonder…
— Steve Gruber (@stevegrubershow) December 3, 2025 [1]
The donation will provide $250 deposits into Trump Accounts for eligible children [2] aged 10 and under living in ZIP codes where the median household income falls below $150,000. President Donald Trump highlighted the move during a White House event, calling it a step toward reducing government dependency and fostering financial independence.
“Trump accounts, as they call it, are a pilot program which will make it possible for countless American children to have a strong start in life at no cost to the American taxpayer,” Trump said in earlier remarks [3] on the initiative. “It’s going to have a huge impact.”
Trump Accounts, formally known as American Dream Accounts or Invest America Accounts, are tax-advantaged savings vehicles for U.S. children under 18 who hold a Social Security number. They blend features of traditional IRAs and 529 college savings plans, allowing after-tax contributions of up to $5,000 per year, with adjustments for inflation starting in 2027.
Contributions can come from parents, guardians, family members, or others, and no earned income is required from the child.
Funds in these accounts must be invested in low-cost stock index funds [4] that track broad market indices, such as the S&P 500, to encourage long-term growth. Accounts can be established beginning in early 2026.
At age 18, the beneficiary takes control and can use the money penalty-free for qualified expenses like education, home purchases, or starting a business. Funds can also be rolled into a retirement account. Early or non-qualified withdrawals are subject to taxes and penalties [5] similar to those for traditional IRAs.
The Dell pledge follows a bipartisan push from Sens. Ted Cruz (R-TX) and Cory Booker (D-NJ), who sent a letter on Dec. 2 to CEOs of Fortune 1000 companies urging them to support and contribute to the accounts.
“I’m proud to send a bipartisan letter with @SenBooker to Fortune 1000 CEOs, encouraging them to champion these accounts, and thereby to play an active role in shaping the coming decades of American life,” Cruz posted on X [6].
On the same day, the Treasury Department and IRS issued initial guidance on account setup, allowable investments, distributions, and coordination with other retirement plans. The agencies also sought public comments on proposed regulations.
The White House has opened sign-ups, and a draft of IRS Form 4547 is now available for parents to apply for the government deposit.As of Dec. 3, applications for the government seed money are underway, with full implementation set for next year. Families can learn more through the IRS website or at TrumpAccounts.gov [7].