Summary
The U.S. Treasury hopes Americans will save, not spend, the $2,000 checks that President Trump plans to send out in 2026. The creation of "Trump accounts" for children is part of this effort, with accounts seeded by the government to encourage saving.
Key Facts
- President Trump announced $2,000 checks would be sent out starting in mid-2026.
- These checks are meant to help with the affordability crisis and are timed before midterm elections.
- The checks' total cost could reach $450 billion, with a slight potential impact on inflation.
- Treasury Secretary Scott Bessent suggests using the checks to encourage savings through "Trump accounts" for kids.
- "Trump accounts" are investment accounts for children born between 2025 and 2028, starting with $1,000 from the Treasury.
- Parents can contribute up to $5,000 a year into these accounts.
- A study found that past stimulus payments were mostly spent or used to pay down debt.
- No bill has yet been proposed to officially authorize the $2,000 checks or determine eligibility.
