Top executives from some of the most prominent companies in America, including Michael Dell of Dell Technologies, Dara Khosrowshahi of Uber, and David Solomon of Goldman Sachs, gathered at the White House on Monday to show their support for President Donald Trump’s proposal to create investment accounts for children born during his second term.
The initiative is part of Trump’s divisive “One Big Beautiful Bill Act,” currently under consideration in Congress, and aims to promote financial literacy and encourage family growth.
“Trump Accounts” and Their Purpose
The concept of “Trump accounts” is designed to offer a financial head start to children born during Trump’s second term. Each account would receive a one-time, $1,000 contribution from the federal government, with additional deposits from participating companies.
The funds would be tax-deferred and invested to track the overall stock market, with access granted when the child turns 21. The goal is to help children build wealth from an early age, offering them a financial boost when they reach adulthood.
Trump praised the business leaders who backed the plan, calling them “the greatest business minds we have today” and emphasizing their commitment to contributing millions of dollars to the initiative. He described the program as a “pro-family initiative” that would provide a “big jump on life” for children, especially if economic conditions improve over time.
Corporate Support and Contributions
Each of the participating executives announced their companies’ support for the program, with Dell, Uber, and Goldman Sachs agreeing to contribute to the accounts of children born to their employees.
Michael Dell, a longtime Republican donor, stated that his company would match the government’s $1,000 contribution dollar for dollar for every child born to a Dell employee. He called the plan “an investment in our people, their families, our communities, and America’s future.”
Dell also shared that he and his wife would make a significant contribution to the program through their family foundation. He described the initiative as a powerful platform for philanthropic innovation, particularly benefiting children from historically disadvantaged families.
Political and Policy Context
The Trump administration’s proposal follows the concept of “baby bonds,” which has been implemented in places like California, Connecticut, and the District of Columbia.
These programs invest funds for newborns, which become accessible when the children reach adulthood for purposes like education or homeownership. The idea of baby bonds was first proposed in 2010 as an academic solution to reduce wealth inequality and break cycles of poverty.
While Trump’s plan mirrors these programs in some ways, it differs in key areas. The “Trump account” initiative would be available to families of all income levels, not just disadvantaged groups.
Additionally, the proposal would require at least one parent to provide a Social Security number with work authorization, which would prevent children of some immigrant families from having accounts established.
Bipartisan Support and Republican Backing
The proposal has received support from key Republican figures, including Representative Blake Moore of Utah and House Speaker Mike Johnson. Johnson hailed the plan as “a bold, transformative policy that gives every eligible American child a financial head start from day one.”
However, the proposal has also faced criticism, with some pointing out that it resembles policies previously proposed by Democrats, especially those aimed at addressing wealth inequality and helping disadvantaged communities.