Trump Accounts Get Massive Expansion: More Than 60 Million Children Automatically Enrolled

More than 60 million American children have been automatically enrolled in Trump Accounts, dramatically expanding participation in the new investment program after early sign-ups lagged among eligible families.

The U.S. Department of the Treasury said Thursday that the automatic enrollment process has been completed for more than 60 million eligible children under 18, just days after Treasury and the Internal Revenue Service issued regulations establishing the new system.

The regulations call for Treasury to establish an account for eligible children with Social Security numbers who did not already have one beginning on or around October 1. Treasury will also periodically create accounts for newly eligible children who have not previously been enrolled.

Trump Accounts, formally known as Section 530A accounts, launched on July 4 and are available to U.S. children under 18 with Social Security numbers. Children born between January 1, 2025, and December 31, 2028, are also eligible for a one-time $1,000 federal contribution. The automatic enrollment, however, does not mean eligible families automatically receive the $1,000.

Parents or guardians still have to claim their child's account and elect to receive the federal seed contribution. Families must verify their identity and relationship to the child and activate the account before contributions can be made by relatives, employers or other eligible donors.

The distinction could prove significant as Treasury attempts to broaden participation in a program that initially relied on families opting in. In mid-September, Bessent said roughly 7 million to 8 million children had been signed up. The shift to automatic enrollment effectively removes the first administrative hurdle for tens of millions of additional families.

The new rules also expand what Trump Accounts can hold. Treasury will permit donations of individual stocks to the accounts, opening another avenue for large-scale private contributions. Earlier guidelines generally limited investments to diversified, low-cost funds. Under the new regulations, donated shares generally must remain in the account for five years before they can be sold.

The change could make stock donations particularly attractive to wealthy founders and shareholders because donating appreciated shares can avoid the capital-gains tax that could be triggered if an investor sold the stock first and then donated the proceeds.

Private contributions are already becoming a significant part of the program. Michael Dell and his wife, Susan Dell, have committed $6.25 billion to provide an additional $250 for qualifying children born between 2016 and 2024 in ZIP codes where median household income is $150,000 or less.

Automatic enrollment could help ensure children are positioned to receive those types of philanthropic contributions even before their parents formally activate the accounts. But questions remain about whether families, particularly lower-income households, will complete the steps required to claim federal money.

Research from nonprofit Commonwealth found that only 5% of low- and moderate-income families surveyed had opened a Trump Account before automatic enrollment. Parents cited concerns including taxes, possible effects on public benefits and an inability to make their own contributions.

The stakes are substantial for younger children eligible for the federal deposit. Commonwealth estimates about 14.4 million children born between 2025 and 2028 could qualify for the $1,000 contribution, including about 5.8 million from low- and moderate-income households.

Based on participation rates in other federal programs, researchers estimated that about 20% of eligible children could still fail to claim the money. That would leave roughly $2.88 billion in potential federal seed funding unclaimed during the pilot period.