During a rally on Wednesday, President Donald Trump promoted a new initiative that allows parents to open special accounts for their babies, offering a $1,000 start-up fund. Dubbed “Trump Accounts,” this initiative is designed to help children get a head start on the path to achieving the American dream.
The accompanying video comes from a previous news report.
“Think of that. The government is finally giving money back to our children,” Trump exclaimed to the enthusiastic crowd assembled at a high school in Georgia.
However, some parents who initiated these accounts earlier this month reported they are still awaiting their funds. The accounts officially became active on July 4, just two days before Trump ceremonially rang the opening bells for both the New York Stock Exchange and the Nasdaq from the Oval Office.
These tax-advantaged accounts are available for any child under 18, with Trump announcing that over 7 million accounts are already active. Babies born between January 1, 2025, and December 31, 2028, will receive a $1,000 grant from the U.S. Treasury. According to the Treasury Department, most families receive their funds within one or two days.
After the Trump Accounts are set up, parents, relatives, friends and employers can contribute to them. Some billionaires have also
Some parents were told it could take 4 weeks for the deposit
For babies born since Trump took office last year, $1,000 from the U.S. Treasury is supposed to kick off the accounts. While some parents report receiving the money, others said in interviews and on social media they're still waiting for their $1,000.
Masaki and Kristina McLellan, new parents from Bergen County, New Jersey, said in an interview they were wary of signing up for the accounts because they worried it was a promotional stunt for the president. But the $1,000 incentive persuaded the couple, whose daughter Maya was born in late March, to start an account anyway.
Masaki McLellan said he applied for the account July 6. At first, the application was rejected, but the account was activated after he called the Trump Account hotline. He was told he'd see the money in the account in 10 days. Now, he says, he's been told it will take up to four weeks.
Kristina McLellan said she was disappointed it was taking so long to fund her daughter's account. But the infant has multiple other investments already compounding for her. Maya's parents have already started
"We definitely want to give her options for her future and make sure she can choose what she wants to do," said McLellan, a studio director for a local news station, who returns from maternity leave next week.
The Treasury Department emphasized the McLellans' case is unusual and said only a sliver of those who apply need customer support.
Treasury says most parents wait only 1 or 2 days
The Treasury Department said that the lag between opening an account and receiving the seed funding constitutes "standard processing time, like receiving a tax refund," and that the overwhelming majority of parents are waiting only one to two days. But the department likes to give parents a conservative estimate for how long it might take for the money to be transferred, such as the estimate of up to four weeks given to the McLellans.
"Trump Accounts level the playing field by allowing every parent to invest in their children's future, not just wealthy families with trust funds," the department said.
The government also unveiled an initiative last month that permits child welfare agencies to open accounts on behalf of foster youth.
"With roughly 1 million sign-ups per month before launch, Trump Accounts have become the most popular and successful government-backed savings product in U.S. history," the Treasury Department said.
On Wednesday, Trump called the accounts "the most consequential" part of his signature