First lady Melania Trump and Treasury Secretary Scott Bessent have unveiled “Fostering the Future Accounts,” a new initiative providing a $1,000 initial deposit for eligible newborns, particularly those in foster care.
This program, a spinoff of the existing Trump Accounts investment funds, aims to give children a crucial financial head start.
Building on her work with foster children, Melania Trump announced new federal guidance empowering child welfare agencies to act as guardians, facilitating account openings for children under their care.
Speaking at a Treasury Department news conference, she stated the move “gives foster children the same chance at asset ownership and long-term wealth as every other child.”
The accounts are set to open for contributions on July 4.
To qualify, a child must be a U.S. citizen born between January 1, 2025, and December 31, 2028. The White House Council of Economic Advisers estimates a Trump Account balance for a baby born in 2026 could reach $5,800 by age 18 and $18,100 by age 28, assuming no other contributions are made.
The first lady also revealed that 23 governors have pledged to allow state agencies to begin enrolling children. She issued a direct call to action, stating, “I urge every governor and business leader to help fund these accounts.”
This initiative directly addresses the significant challenges faced by the approximately 330,000 children within the U.S. foster care system.
According to the National Council for Adoption, one in five of these children is at risk of homelessness after aging out of care.
The National Foster Youth Institute reports that only half gain employment by age 24.
Treasury Secretary Bessent acknowledged these statistics, stating, “Those outcomes are unsettling but we refuse to accept them as inevitable. We are affirming that the American dream belongs to every child.”
The broader Trump Accounts program was established last summer through a provision in Trump’s tax and spending legislation.
The Treasury Department provides $1,000 to babies when their parents open an account, with funds then invested in the stock market by private firms, becoming accessible at age 18.
Employers and billionaires across the country have pledged to make matching Trump Accounts contributions for employee benefits. Among them are Michael and Susan Dell, who announced a $6.25 billion donation, and hedge fund founder Ray Dalio and his wife, Barbara, who pledged $75 million for kids under 10 in Connecticut, where the Dalios live
