WASHINGTON — The first lady and Treasury Secretary Scott Bessent revealed Thursday the creation of Fostering the Future Accounts, an extension of existing Trump Accounts investment programs designed to provide $1,000 starter funds to newborns when parents establish accounts.
Expanding her ongoing efforts to support foster children, the first lady explained that new federal guidelines will enable child welfare agencies to serve as guardians for foster care children when establishing these accounts.
During a Treasury Department press conference, the first lady stated the initiative “gives foster children the same chance at asset ownership and long-term wealth as every other child.”
Account enrollment begins July 4th. Children must be U.S. citizens born from January 1, 2025, through December 31, 2028, to be eligible.
White House Council of Economic Advisers projections show a Trump Account opened for a 2026 newborn could reach $5,800 at age 18 and $18,100 at age 28 without additional deposits.
Twenty-three governors have committed to allowing their state agencies to start enrolling children in the initiative, the first lady reported. “I urge every governor and business leader to help fund these accounts,” she stated.
The National Council for Adoption reports approximately 330,000 children currently live in U.S. foster care. According to the National Foster Youth Institute, one in five faces homelessness risk after leaving the system, and only half find jobs by age 24.
“Those outcomes are unsettling but we refuse to accept them as inevitable,” Bessent said during the announcement. “We are affirming that the American dream belongs to every child.”
Trump Accounts originated from provisions in tax and spending legislation signed last summer. The Treasury Department provides $1,000 to infants when parents establish accounts, with private companies investing the funds in stock markets. Children gain access at 18 years old.
Nationwide employers and wealthy donors have committed to matching contributions for Trump Accounts as employee benefits. Michael and Susan Dell announced a $6.25 billion donation, while hedge fund founder Ray Dalio and his wife Barbara pledged $75 million for Connecticut children under 10.
