Kids Cash Boost: What You Need to Know About the New Trump Accounts

The Trump administration has rolled out a new program called Trump Accounts. It's a way to give every newborn a financial head start. Here's how it works: when a baby is born, the government puts $1, 000 into an account. This money is then invested in the stock market. The child can't touch it until they turn 18. But there's a catch. The $1, 000 is only for babies born between 2025 and 2028. Parents of older kids can open accounts, but they won't get the $1, 000 bonus. The money can be used for things like college tuition, starting a business, or buying a home. Parents can also add up to $2, 500 a year to the account.The program is part of a bigger push to get more people involved in the stock market. It's also seen as a way to help kids from low-income families build wealth. But critics say it doesn't do much for kids in their early years when they need help the most. The accounts are managed by private firms, not the government. This has raised some eyebrows, as it's a departure from similar programs in other states. Some people worry that the wealthiest families will benefit the most from this program. After all, they're the ones who can afford to add the maximum amount to the accounts. The accounts won't be open for contributions until July 2026. But parents can start signing up now. They'll need to fill out a form from the Internal Revenue Service. Once the accounts are open, parents will get more information on how to finish setting them up.