Trump Administration Considers Billionaire Stock Donations for Child Accounts

The Trump administration is considering a policy shift that would allow billionaires to donate shares of their companies directly into Trump Accounts, also known as Section 530A accounts. This federal savings program provides 1,000 dollars in seed money for children born between 2025 and 2028. Currently, the program restricts investments to cash and diversified index funds.

Brad Gerstner, the architect of the program, is leading the effort to permit the contribution of appreciated stocks. This change would allow ultra-wealthy donors to avoid triggering capital-gains taxes while potentially giving millions of children exposure to high-growth technology stocks. While proponents argue the move increases philanthropic efficiency, some Treasury Department officials have warned that individual stocks could expose children to excessive market volatility.

Treasury Secretary Scott Bessent reported that approximately 5 million children have already enrolled in the program. BNY has been appointed as a financial agent, and Robinhood is partnering with the institution to serve as the account custodian and develop a dedicated application. Contributions for the accounts are scheduled to launch on July 4 or 5, 2026.