Billionaires Michael and Susan Dell pledge $6.25 BILLION for President Trump's new savings program for American children

Billionaire philanthropists Michael and Susan Dell announced on Tuesday a $6.25 billion charitable commitment for "Trump Accounts," a new Trump administration policy that offers every US citizen born between January 1, 2025, and December 31, 2028, a $1,000 seed contribution from the federal government into tax-advantaged investment accounts. The initiative, tied to the recently passed Working Families Tax Cuts, aims to give American children an early start on wealth-building.

The Dells' contribution will deposit an additional $250 into the accounts of the first 25 million American children aged 10 and under residing in ZIP codes with median household incomes under $150,000.

"We believe the smartest investment that we can make is investment in children, and this Act has created a platform for families, and friends, and communities, and companies, and philanthropists to contribute to these accounts to create a savings, and opportunity, and hope and prosperity for tens of millions of children in this country," Michael Dell told reporters during a press briefing with President Trump at the White House.

The policy goes into effect on July 4, 2026. Parents and guardians can open an account by filing IRS Form 4547, which elects the $1,000 government contribution, and can be submitted with 2025 tax returns or anytime thereafter. Beginning mid-2026, applications will also be available online at trumpaccounts.gov, with the Treasury Department providing authentication and activation details. Accounts will initially be held by the Treasury's designated financial agent, allowing later transfers to preferred brokerages.

Funds will be invested exclusively in broad US equity index funds, such as those tracking the S&P 500, with annual fees capped at 0.10 percent to ensure transparent, long-term growth.

Under the program's structure, contributions from family, friends, employers (up to $2,500 per employee annually, excluded from taxable income), charities, and government entities like states or localities are encouraged, with no limit on the latter for qualifying groups of children.

"This gift is being made possible by the largest tax cuts in American history," said President Trump during Tuesday's announcement.

The annual contribution limit is $5,000 total per child, with cost-of-living increases after 2027.