How to Get Your Child Started with Trump Accounts: Claiming Your $250 Seed Funds

Building a financial foundation for your kids is one of the most rewarding things you can do as a parent. We all want our children to have a head start, whether that’s for college, buying their first home, or starting a business. Recently, a new savings tool has been making waves in the news: Trump Accounts. These accounts are designed to help American families jumpstart their children’s savings with a little help from the government and even some generous private donors.

One of the most exciting updates regarding these accounts is a massive donation from Michael and Susan Dell. This contribution is specifically aimed at children who might have missed the initial window for federal "seed money." If you’ve been wondering if your child qualifies for these Trump Accounts or how to get started with the $250 seed funds, you’re in the right place!

What Exactly Are Trump Accounts?

A Trump Account is a new type of tax-advantaged investment account created for U.S. citizens under the age of 18. You can think of it like a "starter IRA" for kids. The money in the account grows tax-deferred, meaning you don't pay taxes on the investment gains while the child is growing up.

The goal is to provide every American child with a "nest egg" by the time they hit adulthood. These accounts are managed by the Treasury’s designated agents initially, but the best part is that the funds are invested in broad U.S. stock market indexes, like the S&P 500. This gives your child's savings the opportunity to grow along with the American economy.

Who Qualifies for the $250 Seed Funds?

While the federal government offers a $1,000 "pilot program" contribution for babies born between January 1, 2025, and December 31, 2028, many parents felt their slightly older children were being left out. That’s where the Dell foundation stepped in!

The $250 seed funds are designed to bridge that gap. To qualify for this specific $250 deposit, children generally need to meet these criteria:

• The child must be age 10 or younger (born before 2025).

• The family must live in a ZIP code where the median household income is $150,000 or less.

• The child must have a valid Social Security Number (SSN).

• The child must not have already received the $1,000 federal contribution reserved for newborns.

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This is a fantastic way for millions of families to get their foot in the door with Trump Accounts and start building a legacy for their kids without needing a huge amount of cash upfront.

How to Open a Trump Account and Claim Your Funds

Getting started is actually quite simple. The IRS has released a specific form just for this purpose: IRS Form 4547. This form is essentially your "election" to open the account and claim any seed money your child is eligible for.

To get your account up and running:

• Fill out Form 4547: You can include this when you file your annual tax return or file it separately. You can find the official form and instructions on the IRS website here: IRS Form 4547.

• Provide Basic Info: You’ll need your child’s name, address, and Social Security Number.

• Activate Online: Starting in mid-2026, you’ll also be able to manage these accounts through the official portal at TrumpAccounts.gov.

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Once the account is active, the seed money (whether the $1,000 for newborns or the $250 Dell-funded deposit) is automatically deposited and invested. You don’t even have to put in your own money to start, though you are allowed to contribute up to $5,000 per year to help it grow even faster!

Growing Wealth for the Future

The magic of Trump Accounts is time. Because these funds are locked until the child turns 18, they have years—sometimes nearly two decades—to benefit from compound interest. When your child turns 18, they can use the money for "qualified expenses" like a down payment on a home, tuition for school, or starting a brand-new business venture.

If they don't need the money right away at 18, the account simply converts into a traditional IRA. This means they can keep that money growing for their own retirement, giving them a massive head start on their long-term financial security. It’s a win-win for the next generation!

As we always say, the best time to start saving was yesterday; the second best time is today. With the help of these new seed funds and the ease of the IRS Form 4547, there’s never been a better time to look into Trump Accounts for your family.