The U.S. government’s “Trump accounts” have quickly attracted billionaire backers. Bridgewater founder Ray Dalio is the latest wealthy figure to support the initiative, pledging roughly $75 million to seed 300,000 accounts in his home state of Connecticut. His grant will add an extra $250 to accounts in Connecticut zip codes where the median income is $150,000 or less.
The savings accounts, set to launch next July for children with a U.S. Social Security number, were introduced earlier this year as part of Trump’s tax bill. Babies born between 2025 and 2028 will automatically receive a $1,000 deposit from the U.S. Treasury Department. All children under the age of 18 are eligible to open an account.
The government is encouraging parents, philanthropists and local governments to contribute to the tax-advantaged accounts, which can be invested in stock market index funds and later convert into traditional IRAs when recipients turn 18. Funds can eventually be used for expenses such as education, job training and buying a first home.
Dalio, whose net worth is estimated at $15.4 billion, praised the accounts as a tool for building financial literacy among children. “These Trump Accounts are great not just because they put money into stocks for these young people but also because they draw their attention toward how finance, stocks, companies and capitalism work to improve society and can work for them,” he wrote in a post on X yesterday (Dec. 17).
His announcement mirrors a similar contribution from Michael Dell and his wife, Susan. Earlier this month, the couple unveiled a $6.25 million donation that will place $250 into the Trump accounts of 25 million children aged ten and under who aren’t eligible for the Treasury’s seed deposit.
The Dalios and the Dells have collaborated philanthropically before. In 2020, the Dalios purchased 60,000 Dell laptops to support virtual education during the Covid pandemic. Dalio’s broader charitable efforts also include more than $7 million in contributions to Dalio Philanthropies, his family foundation, as well as roughly $280 million donated to nonprofits in Connecticut.
The Dalios’ support for Trump accounts also ties into a new component of the initiative known as the “50 State Challenge” which aims to encourage philanthropists to expand funding in their local communities. Treasury Secretary Scott Bessent announced the program during a press conference yesterday. “Ray has made the first move, but we welcome other donors and foundations in Connecticut and across the country to join him,” Bessent said, adding that 20 state governments are also in talks about supplementing the accounts.
The government has also launched trumpaccounts.gov, a website dedicated to the initiative that highlights “additional support” from at least eight companies nationwide. In most cases, corporate participation has taken the form of matching government contributions, with companies such as Dell, BNY and BlackRock pledging to supplement the Treasury’s $1,000 deposits for their employees’ children.
Not every billionaire, however, is convinced. While calling the accounts a “nice gesture,” Elon Musk took to X yesterday to describe the initiative as unnecessary in light of A.I.’s economic potential.
“There will be no poverty in the future and so no need to save money. There will be universal high income,” Musk wrote, echoing a Silicon Valley belief that technology-driven productivity gains will eventually provide people with steady, recurring payouts.
