How 'Trump accounts' stack up against traditional savings vehicles for your kids’ futures

Financial advisors say "Trump accounts" may fill a specific niche, but they may not be the right fit for every family's future goals

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When Michael and Susan Dell pledged $6.25 billion last week to jump-start investment accounts for 25 million American children, it put one of the newest and most hyped savings vehicles for kids front and center: Trump accounts.

The accounts, created through President Donald Trump’s “One Big Beautiful Bill” signed into law in July, promise to give every American baby born between 2025 and 2028 a $1,000 head start from the U.S. Treasury. With the Dell donation adding $250 more for eligible children under 10, it sounds like free money for families.

But financial advisors say parents shouldn't rush to abandon tried-and-true savings strategies. Trump accounts may fill a specific niche, but they may not be the right fit for every family's future goals.

"I think it is super goal-specific based on what you're looking to accomplish with your savings," said Travis Veenhuis, a certified financial planner........

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