Michael and Susan Dell pledge $6.25 billion for kids' savings in 'Trump Accounts'
In a major philanthropic move, billionaires Michael and Susan Dell are donating $6.25 billion to deposit $250 into savings accounts for up to 25 million American children.
The funding will dramatically expand the amount of money available to be invested into a tax-advantaged investment account. It will apply to children ages 10 and under living in ZIP codes where the median income is below $150,000.
The so-called Trump Accounts are a key piece of President Donald Trump's signature tax and spending legislation, which passed earlier this year.
Under that law, the Treasury Department will give $1,000 to the accounts for children born between Jan. 1, 2025, and Dec. 31, 2028. Those accounts become the property of a child's guardian and "will track a stock index and allow for additional private contributions of up to $5,000 per year," according to the White House.
The donations from the Dells will supplement that federal funding, expanding the number of children who will qualify for accounts.
The more than $6 billion in funds from the Dells will go to "most children age 10 and under who were born prior to the qualifying date for the federal newborn contribution," though Tuesday's announcement adds that some children older than 10 may also be eligible if there is funding left over after the initial sign-ups.
"We've seen what happens when a child gets even a small financial head start -- their world expands," Michael Dell said in a video announcing the news.
Speaking at the White House Tuesday, Trump praised the Dells for their "extraordinary act of kindness and patriotism and charity."
"It's also President Trump's call to action for American businesses and philanthropists to do their part, too -- Michael and Susan Dell's $6 billion investment into America's children is the first of many announcements to come for America's children," Desai added.
In June, Michael Dell attended a roundtable at the White House and spoke alongside Trump about how access to the savings accounts for American children will be a "simple yet powerful way to transform lives."
