Major S&P 500 company pledges $1,000 per child

Robinhood Markets (Nasdaq: HOOD), the e-trading platform offering cryptocurrencies and tokenized stocks, has committed to contributing $1,000 each to Trump Accounts for eligible children of its employees.

The financial services company said the initiative is part of its mission of democratizing finance.

The Trump accounts program is part of the Working Families Tax Cuts (Section 70204) provision of the One Big Beautiful Bill Act (OBBBA) that President Donald Trump signed into law on July 4.

The account is for a child under the age of 18 who holds a valid Social Security number before the end of the calendar year in which the election is made.

The account features a pilot program contribution of $1,000 from the U.S. Treasury for children who are born between Jan. 1, 2025, and Dec. 31, 2028, are U.S. citizens, and hold a valid Social Security number.

Parents, guardians, or others can elect to open a Trump Account for an eligible child when they file 2025 taxes or through an online portal that will be available by summer 2026.

Authorized contributions from individuals and employers are allowed up to $5,000 annually.

Employers can contribute up to $2,500 per year toward an employee’s or dependent’s Trump Account without it counting as taxable income for the employee.

Funds must be invested in certain mutual funds or exchange-traded funds that track a U.S. stock index such as the S&P 500.

Generally, money cannot be withdrawn before the year the child turns 18. Once the individual is an adult, the account is treated like a traditional individual retirement account (IRA) with similar tax rules.

Trump Accounts launches on July 4, 2026.

Related: American kids to receive free $1,000 but they can’t put it in Bitcoin

“This is a pro-family initiative that will help millions of Americans harness the strength of our economy to lift up the next generation,” Trump said.

Nonprofit organizations and local governments can also contribute to Trump accounts of all children in a state or qualified geographic area.

Tech billionaire Michael Dell and his wife Susan have committed $6.25 billion to Trump accounts. Billionaire Ray Dalio and his wife Barbara committed $75 million to the same through Dalio Philanthropies.

Dalio wrote on X the Trump Accounts are great because they draw their attention toward how finance, stocks, companies, and capitalism work to improve society.

“For capitalism to work, it must work well for most people.”

Responding to the post, tech tycoon and billionaire Elon Musk said there will be no poverty in the future and there will be no need to save money.

“There will be universal high income.”

Founded in 2013, Robinhood became a public company in 2021. In 2025, the firm hit another milestone, joining the S&P 500 index.

In an interview with Bloomberg on Dec. 17, Robinhood co-founder, chairman, and CEO Vlad Tenev said he has spoken to the president regarding Trump accounts and assured him of the maximum support.

Calling the program a “great initiative,” Tenev said there is a huge risk of people in the U.S. not believing in the free markets as they don’t have a skin in the game.

The best way to address the widespread anxieties regarding jobs during the AI age is to give people a stake at an early age, he shared.

When the show’s host asked him about Robinhood matching federal contributions to Trump accounts, Tenev didn’t offer a definitive answer then.

But now it’s confirmed that Robinhood has committed to matching the Treasury contribution of $1,000 to Trump accounts of the children of its employees.

The amount, much lower than the $2,500 limit, will not be counted as taxable income for Robinhood employees.

This story was originally published by TheStreet on Dec 20, 2025, where it first appeared in the MARKETS section. Add TheStreet as a Preferred Source by clicking here.