$1,000 for kids? New ‘Trump Accounts’ could benefit one million children - who qualifies

The Internal Revenue Service said more than 4 million children are already enrolled in “Trump Accounts” — and over 1 million of them chose to get the $1,000 payment. These “Trump Accounts” are new savings accounts for kids meant to help them build money for the future. The program was created under the One, Big, Beautiful Bill, which became law on July 4, 2025.

The IRS said these numbers come from Form 4547. Families send this form with their tax returns to choose the account. Tax season is still going on, and tax returns are due by April 15. This means more families can still sign up. A “Trump Account” is a new savings account for children. It works like a retirement savings account. The child must be under 18 years old when the account is opened.

Who can get the $1,000

The child must also have a Social Security number, and only one account is allowed per child. To receive the $1,000 government pilot payment, the child must also be a U.S. citizen. Parents, relatives, employers, or some charities can add money to the account, but personal and employer contributions are limited to $5,000 per year per child. Unlike other retirement accounts, the child does NOT need to earn income to receive money in this account.


The money can only be invested in low-cost index funds or ETFs that track U.S. companies, following rules set by the U.S. Treasury Department. Extra money from governments or charities does not count toward the $5,000 yearly limit. The federal government will deposit $1,000 into accounts for eligible children born between January 1, 2025, and December 31, 2028, if they qualify as tax dependents.

When kids can take the money

Kids cannot withdraw money until they turn 18, because the account stays in a “growth period”. After age 18, the account works like a normal IRA, with rules for withdrawals and contributions. Frank J. Bisignano said families only need to check a box on a one-page form when filing taxes to claim the $1,000 payment. He added the IRS worked with Treasury to make the process “simple and easy”.

Amira Boland said the program could become one of the biggest cash transfers ever for American families. She also said the program is unique because it mixes government money, private contributions, and investments tied to the S&P 500. The IRS will keep processing applications with 2025 tax returns, and eligible families will receive the $1,000 once accounts are verified. The Treasury plans to send activation details starting May 2026. An online portal is expected to open on July 5, 2026. The $1,000 deposits will begin no earlier than July 4, 2026, once accounts are active.

FAQs

Q1. Who qualifies for the $1,000 Trump Account payment?

Children born between 2025 and 2028 who are U.S. citizens, under 18, have a Social Security number, and qualify as tax dependents can get the payment, according to the Internal Revenue Service.

Q2. When will the $1,000 money be deposited?

The government plans to start deposits no earlier than July 2026 after accounts are opened and verified, according to officials.