Michael and Susan Dell have announced a significant philanthropic initiative aimed at providing $250 to 25 million children across the United States. This unprecedented donation, totaling $6.25 billion, is designed to establish individual investment accounts for children up to 10 years old living in specific ZIP codes. The initiative, revealed on Tuesday, represents one of the largest charitable contributions in U.S. history.
The funds will contribute to investment accounts referred to as “Trump accounts,” which were introduced under President Donald Trump’s One Big Beautiful Bill Act earlier this year. According to the Dells, the program aims to enhance financial literacy and investment opportunities for young children, setting the stage for future financial stability.
Eligibility and Account Details
Eligible children must reside in areas where the median household income is less than $150,000. The U.S. government plans to provide an initial $1,000 deposit for children born between January 1, 2025, and December 31, 2028. The Dells’ contribution extends this benefit to all qualifying children under the age of 10 prior to the cutoff date.
The specific mechanics of the Trump accounts will be formalized by the government next year. While the exact process for account registration remains unclear, the Dells indicated that the initiative aims to allow families to begin saving effectively.
In a statement, the Dells expressed their vision for this philanthropic effort: “These deposits will reach the accounts of most children age 10 and under who were born prior to the qualifying date for the federal newborn contribution. Children older than 10 may benefit, too, if funds remain available after initial sign-ups.” They added that the initiative is a “practical and direct step to help families.”
Investment Growth and Future Opportunities
The Trump accounts will enable guardians to contribute up to $5,000 annually until the child reaches 18 years of age. Withdrawals will not be permitted until that age, ensuring that the funds are preserved for future use. The investments will grow tax-free, although taxes will apply to any gains upon withdrawal.
The Dells emphasized the simplicity and security of these investment accounts, stating, “These investment accounts are simple, secure, and structured to grow in value through market returns over time.” This initiative not only aims to support individual families but also seeks to strengthen community ties and foster a sense of ownership among children regarding their financial futures.
Michael Dell, the founder of Dell Technologies, has amassed a fortune of nearly $150 billion, as reported by Bloomberg Billionaires. Through this substantial donation, the Dell family is taking a bold step in promoting financial literacy and investment opportunities for young Americans, potentially reshaping the economic landscape for future generations.
