Michael Dell Invests $6 Billion in ‘Trump Accounts’ for Newborns

Michael Dell, the founder and CEO of Dell Technologies, has announced a significant investment aimed at childhood financial security. He will contribute over $6 billion to the newly established “Trump accounts” for newborns, as part of President Donald Trump’s initiative designed to enhance savings for future generations.

Details of the Investment

On December 2, Dell will join President Trump in the Oval Office for the official announcement of this substantial funding, confirmed by the White House. This initiative aims to provide an additional $250 to approximately 25 million “Trump accounts,” supplementing the initial $1,000 in federal contributions for eligible newborns.

Program Overview

The “Trump accounts” initiative, introduced under the One Big Beautiful Bill, is aimed at children born between 2025 and 2028. The key details of the program include:

• Each eligible child will receive a one-time $1,000 federal contribution.
• Parents can begin contributing additional funds starting in July 2026.
• The accounts are designed as individual retirement accounts (IRAs) focused on building wealth.

To qualify for these accounts, children simply need to have a Social Security number, with no income restrictions. Parents and guardians can contribute up to $5,000 annually until the child turns 18, while employers can add up to $2,500 to that limit.

Withdrawal and Use of Funds

Withdrawals from the “Trump accounts” are permitted for specific purposes, including:

• Education expenses
• Home purchases
• Starting a small business

These withdrawals will be taxed at the long-term capital-gains rate, adding an incentive for responsible saving.

Support from Business Leaders

Dell’s investment is seen as a call to action for the business community to engage in this initiative. Companies such as Salesforce, Uber, and Goldman Sachs have also pledged to invest in similar accounts for their employees’ children.

Statements from Dell

In a statement, Dell expressed his commitment, saying, “We see this as an incredibly practical and powerful step to help more American families. A financial head start can instill confidence and give young Americans the momentum that shapes their own future.” He emphasized the importance of fostering hope and opportunity for future generations.

Looking Ahead

As implementation of the “Trump accounts” unfolds, the Treasury Department and IRS will provide formal guidance. The White House continues to promote the One Big Beautiful Bill, highlighting its multifaceted benefits, including tax extensions and funding allocations. This investment by Dell marks a significant beginning for a broader campaign aimed at enhancing opportunities for America’s youth.