Trump Accounts and Fostering the Future Accounts Launched on July 4th
Learn More About Trump Accounts
About Fostering the Future Accounts
In June 2026, First Lady Melania Trump and Treasury Secretary Scott Bessent announced Fostering the Future Accounts, an initiative designed to expand access to Trump Accounts for children and youth in foster care. Accompanying guidance from the U.S. Department of Health and Human Services (HHS) and the Treasury Department encourages states to proactively establish accounts for eligible children and identifies several potential public funding sources that may be used to support contributions.
The Opportunity and Benefit for Children
Research on children's savings and asset-building consistently finds short and long-term benefits for young people, including financial capability and long-term economic outcomes. In addition, building awareness of asset-building can help youth see futures where their education, training, and career aspirations can be fulfilled.
Young people with foster care experience often enter adulthood with few financial assets. Fostering the Future Accounts offer a new opportunity change this trajectory by creating opportunities to save and build assets over time. Contributions are invested and grow over time. While there is a $5000 per year limit on private contributions (i.e. by family and employers), contributions made by eligible government programs and qualified charitable organizations do not count toward that limit.
A number of philanthropists have already committed funds to accounts and many employers have pledged to provide seed or matching contributions. (Employers range from Uber and Chipotle to Comcast and Airlines.)
These types of accounts are meant for long term savings rather than as savings accounts that one can draw on periodically. Individuals with Fostering the Future Accounts cannot withdraw funds until age 18. Upon turning age 18, the accounts can continue to grow tax-free for retirement by remaining invested, or they can be converted to another type of IRA (or ABLE account). Eligible withdrawals for certain uses (i.e. higher education, starting a business, buying a home) will generally be taxed at the beneficiary’s income tax rate.
How to Establish an Account
A child welfare agency of a state, territorial, or tribal government that is the legal guardian of an eligible child who has a Social Security Number and does not already have an account may elect to open an initial Trump Account for that child. To establish an account, agencies must follow state-specific procedures to complete, sign, and submit Form 4547, which serves as the formal election to create an initial account. The federal government, through HHS, can provide technical assistance to states implementing the accounts through the Fostering the Future Accounts Advancement Center (FTFAAC).
Federal guidance from HHS and the Treasury Department states that the Internal Revenue Service Office of Governmental Liaison will work directly with each state to provide guidance and ensure agencies have the necessary information to successfully complete this process. Agencies may coordinate with their assigned liaison or contact the IRS Governmental Liaison for support.
Key Aspects of Federal Guidance
Governors are encouraged to commit to establishing Fostering the Future Accounts for eligible children in foster care.
Child welfare agencies are authorized to establish Fostering the Future Accounts on behalf of eligible children and youth in foster care.
Survivor's Benefits may be deposited into these accounts.
Unobligated TANF (Temporary Assistance to Needy Families) and maintenance-of-effort funds may be used for contributions.
Comprehensive guidance is available from the Children's Bureau's National Child Welfare Center for Innovation and Advancement (NCWCIA)
How Advocates Can Get Involved
Action steps that advocates can take:
Learn more about Fostering the Future Accounts and how they work;
Learn about any other asset building vehicles in your state;
If your Governor has signed the pledge to open Fostering the Future Accounts for youth in foster care, engage with the Governor’s office, child welfare agency, and State Treasurer's office on implementation discussions;
If your Governor has not signed the pledge, organize stakeholders to request that your state join the pledge;
Engage philanthropy, employers, financial institutions, and community partners to explore contribution strategies and join implementation discussions.
Share implementation challenges and promising practices
Resources
The Child Welfare Advocacy Hub is dedicated to consolidating state and federal Fostering the Future resources. Know about a resource that you think should be included here? Please tell us about it!
News
The Child Welfare Advocacy Hub is dedicated to consolidating national news coverage of Fostering the Future accounts. Know about an article, opinion piece, or blog post that you think should be included here? Please tell us about it!
August 2026
Jaleshia “Jay” Brown's Brief supports thoughtful implementation of the Fostering the Future Accounts
"From Asset Creation to Asset Access: Implementation Readiness Considerations for Fostering the Future Accounts" offers implementation considerations informed by lived expertise, systems design, and youth governance practices to help policymakers, child welfare leaders, and implementation partners anticipate practical challenges before they become barriers for young people.
Journey to Success recently interviewed Brown to learn more about her company, Virtue Visionary, and the specific vision behind the new brief.
