Did Trump accidentally boost direct giving?

A Billionaire's Gift: Direct Giving to the Next Generation

In a historic move, billionaire Michael Dell and his wife Susan have donated an unprecedented $6.25 billion to create a network of savings accounts for millions of American children, under what is being called the Trump account initiative. As part of President Donald Trump’s sprawling tax bill, these miniature trust funds will be established for every child born during the current term in the United States.

The program will allow families to contribute up to $5,000 annually to their child's savings account, with a portion of the money invested in low-cost index funds. If parents or their employers contribute and invest the full amount each year for 18 years, at a reasonable rate of return, the fund could reach upwards of $191,000 by the time the child is old enough to cash it out - nearly $83,000 from investment gains alone.

While many have welcomed this move as an innovative approach to giving, others are more skeptical about its impact. Critics argue that the program requires families to opt-in and navigate complex paperwork, which could lead to low-income families falling through the cracks. Furthermore, with some of these savings being counted towards income limits for public benefits like SNAP, they might not be usable by those who need them most.

While it remains uncertain if this initiative will prove successful, some signs suggest that the model could catch on among other philanthropists and business leaders. Administration officials have floated ideas about donors 'adopting a zip code' or adopting a street by dropping investment funds directly into children's accounts - an approach that may help increase visibility and encourage public participation.

But one thing is certain - this move marks a significant shift in how billionaires and corporations give back to society, from indirect donations through organizations to direct payments to individuals.

It's not the amount of money in your pocket that makes you rich... it's what you do with it that counts

omg, can u believe michael dell & susan just dropped 6.25 BILLION DOLLARS on savings accounts 4 every child born? that's like, whoa! i think it's a total game changer for families w/ kids from low-income fams. they'll be able to save up big time and have a safety net when they grow up. but at the same time, some ppl r worried about the paperwork & stuff... idk, i think it's still a pretty cool idea tho

Just heard about the $6.25 billion donation by Michael Dell and his wife ! Think it's super cool that they're putting their money where their mouth is and setting up a network of savings accounts for millions of American kids . The idea of investing in low-cost index funds is genius, and I love how it encourages families to save for the future . Sure, there might be some kinks to work out with the paperwork and public benefits, but overall, this is a massive win for the next gen ! Can't wait to see other philanthropists jump on this bandwagon

I gotta say , this is either super generous or super complicated . I mean, think about it, $6.25 billion for every child born? That's like a small country's worth of savings! But at the same time, there are so many hoops to jump through and paperwork to deal with... I can see how that would be overwhelming for low-income families who already have enough on their plates . And what about those who aren't eligible for public benefits? Does this just leave them with a big fat zero? It's a good intention, but let's hope the execution is smoother than it seems .

Yooo I'm low-key hyped about this billionaire's gift , but also kinda concerned about the opt-in requirement . Like, what if some families can't get their act together and don't contribute all that dough ? It feels like a lot of people might miss out on a sweet opportunity to build wealth for their kids' future . But at the same time, I'm also super stoked about the potential for this model to catch on with other philanthropists and encourage more direct giving . It's a new wave in corporate social responsibility, and I'm here for it !

OMG, I'm so down for this initiative ! The idea of having a mini savings account set up for every American kid born during the current term is literally genius . It's like, finally, we have a way to give back to the next gen in a meaningful way, you know? But at the same time, I do get why some people are skeptical about it . I mean, low-income families might struggle with all that paperwork and whatnot, which is just not cool .

And can we talk about how awesome it would be if other philanthropists started adopting this model? Like, imagine if every donor had their own zip code fund ! It's like, a whole new level of giving back to the community . One thing that did catch my eye though was the part about SNAP and income limits... I hope they figure out ways to make it more accessible for those who need it most .

I'm loving the idea of a $6.25 billion gift from Michael Dell to a network of savings accounts for kids . It's like he's trying to help level up the next gen financially . But at the same time, I get why some people are skeptical about it - what if low-income families can't navigate all that paperwork or don't know where to start? It's definitely a good thing that we're seeing more billionaires and corporations taking direct action with their philanthropy... maybe this will inspire others to do the same . I'm curious to see how this initiative plays out over time, especially if it does catch on among other big donors .

I feel like there are going to be so many young people who aren't ready for the financial responsibilities of adult life, but with these savings accounts they'll at least have a head start... it's kinda sad that we live in a system where some families can't even get help without navigating all this paperwork though

I think this is a pretty cool idea . I mean, who wouldn't want to start saving for their kid's future at such a young age? But, at the same time, I get why some people are skeptical about it . Low-income families might really struggle with navigating all that paperwork and getting access to these savings accounts.

I'm not sure if $5,000 is a realistic expectation from most families, but still, having a safety net like this could make a huge difference for a lot of kids. And the fact that some of these funds could be invested in low-cost index funds is a great idea .

If this initiative does catch on, I'd love to see more transparency and community involvement, maybe through neighborhood programs or crowdfunding efforts . That way, everyone can get involved and make sure these kids have the best chance at success.

I gotta say ... $6.25 billion?! That's insane! I'm not sure if it's good or bad that they're doing this directly. On one hand, it's amazing that Michael Dell is giving so much back, especially considering his success. But on the other hand, what about those families who can't even afford to open a savings account let alone contribute $5,000? It feels like there are just too many hoops to jump through and not enough safety nets. I guess only time will tell if this program actually helps or hinders people's lives

I'm loving the idea behind this initiative but I got some concerns . On one hand, $6.25 billion is an insane amount of money that could make a huge difference in millions of lives . And it's awesome that families can contribute up to $5,000 each year - that's like saving for college or retirement in no time .

But on the other hand, I'm worried about how low-income families will navigate all this paperwork and maybe not qualify for benefits . We need to make sure everyone has access to these funds, regardless of their zip code . Maybe instead of just relying on opt-in, we can explore ways to make it easier for governments to set up automatic transfers or something? .

It's also interesting to see how this could inspire other philanthropists and business leaders to get creative with giving back . The idea of "adopting a zip code" is genius - who wouldn't want their money to be part of making a difference in their own community? . But ultimately, what matters most is the impact on people's lives .

I'm low-key super hyped about this! Michael Dell's gift is literally gonna change the game for millions of American kids. $6.25 billion is a WHOLE lot of cash, and it's amazing that he's putting his money where his mouth is, so to speak. I mean, who wouldn't want to start saving up for college or their future right out of the gate? The idea of families being able to contribute up to $5,000 a year is super reasonable, too - it's not like they're just gonna leave all the money on the table.

But I get why some people are skeptical. It can be pretty overwhelming for low-income families to navigate the paperwork and stuff. And yeah, if the funds are counted towards public benefits, that could definitely limit who gets to use them. Still, I'm optimistic about this initiative - it's a step in the right direction towards making giving back more direct and accessible. And if other big donors start following suit, we might see some real change happen!

this is actually kinda cool I mean $6.25 billion is insane but you gotta wonder about the catch - low-income families might not know about or be able to take advantage of this - it's like a big handout if they don't even know it's happening what if they can't navigate the paperwork? maybe we should have more guidance and support for these families so everyone can benefit from this generosity

I'm low-key hyped about this but also got some concerns ... I mean, on one hand, $6.25 billion is a whole lotta cash that's gonna change the game for kids' savings. It's dope that families can contribute to their child's fund and watch it grow over time .

But on the other hand, what if low-income fams don't know about this program or struggle to navigate the paperwork? That could leave them high and dry . And with some of these funds being counted towards income limits for public benefits like SNAP... that's just not right . We should be making sure everyone has access to resources, regardless of their zip code or financial situation.

Still, kudos to Michael Dell and his wife for taking a bold step forward . Maybe this initiative will inspire others to follow suit? And who knows, maybe they'll figure out a way to make it more accessible to all families . Fingers crossed!