Bessent Says Trump Accounts Can Raise Financial Literacy
Summary
- U.S. Treasury Secretary Scott Bessent said Trump Accounts can improve financial literacy among American households and help them share in U.S. capital markets and the gains from innovation.
- The federal government plans to provide $1,000 to Trump Accounts for eligible children born between Jan. 1, 2025, and Dec. 31, 2028.
- Bessent said additional contributions from wealthy donors, companies and state governments could bring more support to lower-income families, and that he wants families to understand long-term compounding and the meaning of owning equity in companies.
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Treasury Secretary Scott Bessent said Trump Accounts can help improve financial literacy among U.S. households.
Bessent told CBS News on July 3 that 38% of U.S. households are not invested in the stock market. The goal, he said, is to let all Americans share in the gains from U.S. capital markets and innovation.
More than 6 million Trump Accounts have been opened so far, and about 70 million children in the U.S. are eligible for the program.
Starting July 4, the federal government plans to contribute $1,000 to the accounts of eligible children born between Jan. 1, 2025, and Dec. 31, 2028.
Wealthy donors, companies and state governments can also contribute to the accounts, Bessent said, adding that he expects lower-income families to receive more additional support.
He said he wants participating families to understand the power of long-term compounding. The aim is to show that the accounts are about owning equity in companies, not simply earning interest on deposits.
JH Kim
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