WASHINGTON (Diya TV) —  In a sweeping new policy announcement, President Donald Trump unveiled a plan Monday to create $1,000 government-funded investment accounts for American babies, pitching it as a “pro-family initiative” with major backing from business leaders.

Dubbed “Trump accounts,” the tax-deferred funds would track the overall stock market and be available to every U.S. citizen born between Jan. 1, 2025, and Dec. 31, 2028. The accounts are part of a broader legislative package Trump calls “the big beautiful bill,” which has passed the House but faces an uncertain path in the Senate.

“For every U.S. citizen born after December 31, 2024, before January 1, 2029, the federal government will make a one-time contribution of $1,000 into a tax-deferred account,” Trump said during a roundtable event at the White House with more than a dozen top CEOs. “It’s going to help millions of American families harness the power of the stock market for the next generation.”

The accounts would be administered by parents or guardians, with additional private contributions allowed up to $5,000 per year. According to Trump, the program is fully funded through “targeted reforms,” including cuts to welfare programs and a proposed remittance tax.

Trump received vocal support at the roundtable from high-profile executives including Uber CEO Dara Khosrowshahi, Goldman Sachs CEO David Solomon, Dell Technologies founder Michael Dell, and Robinhood co-founder Vladimir Tenev. The business leaders pledged billions in private contributions for accounts tied to employees’ children. “These are the greatest business minds we have today,” Trump said.

House Speaker Mike Johnson, who attended the event, hailed the plan as “a bold, transformative policy that gives every eligible American child a financial head start from day one.” Johnson said Republicans are “proud to be the party that supports life, families, prosperity, and opportunity.”

The legislation cleared the House by a single vote and without Democratic support. However, it faces resistance in the Senate—not necessarily over the child investment accounts, but because they are embedded in a broader budget bill. The Congressional Budget Office (CBO) released a report last week warning that the bill would add $2.4 trillion to the national debt over 10 years, primarily through deep cuts to Medicaid and food assistance programs (CBO report, June 2025).

The CBO also projected the bill would leave 10.9 million more Americans without healthcare by 2034.

Some financial experts have expressed skepticism about the Trump accounts. While the concept resembles 529 college savings plans, the lower contribution limits and market-only investment structure may not provide optimal returns. “For families already contributing to a 529, the Trump account may not offer significantly better incentives,” said one adviser cited in The Wall Street Journal.

Still, the idea is not entirely unprecedented. The United Kingdom operated a similar “Child Trust Fund” program from 2002 to 2011, and Singapore currently runs a “Baby Bonus Scheme” with government-matched savings for children. Trump cited these models as partial inspiration for his proposal.

In his remarks, Trump struck an optimistic tone. “These children will really be getting a big jump on life,” he said. “Especially if we get a little bit lucky with the numbers and the economy going forward.”

Johnson warned that failure to pass the legislation would trigger what he called “the largest tax increase in American history.” He urged the Senate to move swiftly, calling the bill “pro-growth legislation” that “helps every single American.”

While the proposal has sparked intense debate in Washington, its political and fiscal future remains far from certain.