Months after Dell's $6.25 billion pledge, Trump Accounts get new rules

Michael Dell and his wife Susan Dell pledged $6.25 billion to Trump Accounts through the Michael & Susan Dell Foundation

The US Treasury Department has unveiled new guidance that could make it easier for millions of American families to grow their Trump Accounts through workplace payroll contributions. The announcement comes months after Dell Technologies founder Michael Dell and his wife Susan Dell pledged $6.25 billion to Trump Accounts through the Michael & Susan Dell Foundation to support the child savings initiative, one of the largest commitments made to the programme.

Announcing the new update, Treasury Secretary Scott Bessent said: “Trump Accounts are giving American families a new way to build wealth from day one”.

Trump Accounts get new payroll contribution rules

The new Treasury guidance allows employers to make tax-free contributions of up to $2,500 a year for employees' dependent children and lets workers contribute pre-tax money directly from their paychecks into their children's Trump Accounts. As announced by the Treasury Department and the Internal Revenue Service (IRS), the new framework allows:

• Employers to contribute up to $2,500 tax-free each year to an employee's dependent child's Trump Account.
• Employees to make pre-tax payroll contributions to their children's Trump Accounts through employer cafeteria plans.
• Employer contributions to be excluded from an employee's taxable income, subject to the programme's rules.

“Today, Treasury is publishing guidance that will help families grow Trump Accounts by allowing employers to contribute up to $2,500 tax-free each year for employees' dependents and giving employees the option to contribute pre-tax dollars directly to those accounts,” Bessent said.

Michael Dell's $6.25 billion pledge

The latest rules follow the $6.25 billion commitment announced by Michael Dell and Susan Dell in December 2025. The Michael & Susan Dell Foundation said it would use the funds to help launch the child savings programme, then known as Trump Accounts and later renamed Invest America Accounts. The donation is intended to provide $250 to the accounts of 25 million American children when the programme begins, making it the foundation's largest-ever philanthropic commitment.

The Treasury's latest guidance is expected to make it easier for employers to participate in the programme that the Dell Foundation has backed financially.

More than 50 companies have already signed up

According to the Treasury Department, more than 50 companies have already committed to making Trump Account contributions for employees' children. The department said this means even children who do not qualify for the government's $1,000 Treasury seed contribution can still receive tax-free employer contributions into their accounts.The Treasury also said the programme gives businesses "a new, low-cost, tax-preferred benefit" that can help attract and retain workers while helping families save for the future.

What employers must do

To establish a Trump Account employer contribution program, the employer must:

• Maintain a separate written plan document;
• Follow certification procedures that permit employers to rely on employees’ self-certification of the Trump Account beneficiary’s age and dependent status, but require validation that the account into which the contribution will be made is a Trump Account;
• Provide notices to employees;
• Provide annual statements to employees; and
• Provide reporting to the Trump Account trustee.