The U.S. Treasury will accept philanthropic donations of publicly traded stock to fund Trump Accounts, Secretary Scott Bessent announced two days before the children’s savings program launched, with more than 6 million families already signed up.
Key Takeaways:
Treasury Secretary Scott Bessent said stock gifts open a pathway for large-scale private giving to children.About 1.4 million children born between 2025 and 2028 qualify for $1,000 in federal seed money.Goldman Sachs and Morgan Stanley now offer employer matches for Trump Account contributions.The Treasury Department said it will accept large philanthropic contributions of readily tradable public company stock to support the accounts. Under the new process, eligible donors transfer approved publicly traded shares directly to the Treasury, which then contributes the stock to Trump Accounts for eligible children consistent with the donor’s instructions, applicable law and department guidance. Treasury Secretary Scott Bessent said:
“Today’s announcement makes it easier for philanthropists to help American children build long-term financial security. Treasury is creating a practical pathway for large-scale private giving to support the next generation.”
The mechanism is designed to court corporate founders, foundations and wealthy families who hold most of their wealth in equities rather than cash. Donating appreciated stock directly, rather than selling it first, is a long-standing philanthropic technique, and the Treasury’s framework now applies it to a federal savings program for minors.
A July 4 Launch With 6 Million Sign-UpsSkeptics have raised familiar questions about the program, i.e. whether philanthropic stock gifts will materialize at scale, how donor instructions will be policed, and whether a program named for a sitting president can outlast him politically. The Treasury has said contributions must comply with its guidance and applicable law, though detailed rules on which stocks qualify as “approved” are still emerging.
