The Social Security Administration announced that parents will soon be able to enroll their newborn children in Trump accounts directly at the hospital, using the child's newly issued Social Security number. Commissioner Frank J. Bisignano said the initiative is designed to allow families to take advantage of the accounts «from the day a child is born,» marking a significant expansion of the program's reach.
Trump accounts, formally known as the Universal Savings Accounts created under the Trump administration, allow individuals to save and invest money with tax-free growth and withdrawals for a broad range of purposes, including education, home purchases, and retirement. The accounts have been promoted as a tool to increase household savings and reduce reliance on traditional government benefits. By enabling enrollment at birth, the SSA aims to give every American a financial starting point from their first day of life.
The process will be integrated into the existing system for issuing Social Security numbers to newborns. When parents apply for a Social Security number for their child at the hospital, they will be offered the option to simultaneously open a Trump account. The account would be seeded with an initial deposit from the federal government, though the exact amount has not been finalized. Parents would then be able to make additional contributions, and the account would grow over time through investment returns.
Bisignano emphasized that the program is voluntary and that parents can choose not to enroll their child. For those who do opt in, the account would be managed by a private financial institution selected through a competitive bidding process, with oversight from the SSA. The agency is working with hospitals, state vital records offices, and financial services firms to implement the system smoothly.
The announcement has drawn praise from supporters who see it as a way to promote financial literacy and long-term savings from an early age. «This is a game-changer for American families,» said a spokesperson for a conservative advocacy group that has backed the accounts. «It gives every child a stake in the economy from birth and encourages parents to think about their children's financial future.» Critics, however, have raised concerns about the potential for fees, investment risks, and the administrative complexity of linking the accounts to the Social Security system. Some consumer advocates have also questioned whether the program could be used to phase out traditional Social Security benefits over time, though administration officials have denied such intentions.
The Trump account program was launched in 2025 and has enrolled millions of Americans, but participation has been lower than projected among lower-income households. The newborn enrollment initiative is seen as a way to boost uptake and ensure that children from all backgrounds have access to the accounts. The SSA plans to launch a pilot program in several states later this year before rolling it out nationwide in 2027.
Bisignano said the agency is also exploring ways to allow parents to open accounts for older children who do not yet have them, and to simplify the process for families who adopt children or have children through surrogacy. The goal, he said, is to make the Trump account «as universal as the Social Security number itself.»
The announcement comes amid broader efforts by the administration to expand the reach of the accounts, including proposals to allow employers to automatically enroll workers and to permit rollovers from other retirement accounts. Lawmakers in several states have also introduced legislation to create state-level versions of the accounts for residents who do not qualify for the federal program.
While the program has bipartisan support in principle, with some Democrats backing the idea of universal savings accounts, disagreements remain over funding, regulation, and the role of private financial institutions. The newborn enrollment initiative is expected to be a topic of debate in upcoming congressional hearings on the SSA's budget and operations.
