U.S. Treasury Secretary Scott Bessent and First Lady Melania Trump unveiled a new policy initiative Thursday (June 11, 2026) designed to strengthen financial security and opportunity for young Americans in foster care.
This initiative, part of First Lady Melania Trump’s “Fostering the Future” platform, expands access to financial education and introduces new pathways to promote wealth-building by making it easier for eligible foster youth nationwide to obtain access to a “Trump Account.” This landmark effort represents a significant step forward in ensuring that youth in foster care are equipped with the tools and resources needed to achieve long-term financial independence. By combining access to dedicated savings accounts and funding, along with enhanced financial literacy education, the initiative empowers young people to build assets, manage resources responsibly, and plan for their futures.
Within the foster care community, Trump Accounts may sometimes be referred to as “Fostering the Future Accounts,” reflecting on Mrs. Trump’s commitment to helping youth in foster care build a stronger future.
Empowering States to Open Trump Accounts for Foster Children
Under this initiative, 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 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 at pgld.glds.gov.liaison@irs.gov for support.
States are strongly encouraged to adopt policies that explicitly authorize child welfare agencies, or their designees, to act on behalf of children in their care in establishing and managing these accounts. In addition, states are urged to proactively open Trump Accounts for eligible youth who do not already have one, ensuring broad and equitable access to this opportunity.
Increasing Financial Resources for Children in Foster Care
The initiative also provides flexibility for states to deposit federal survivor benefits into Trump Accounts. These contributions count toward the annual contribution limit of $5,000 per account and are intended to help preserve financial resources for the child’s future needs, including education, housing, and career development.
By facilitating early access to savings and financial education, the Treasury Department and the Office of the First Lady aim to break cycles of financial instability and create a stronger foundation for success among youth in foster care. This policy underscores the Administration’s commitment to empowering vulnerable populations through practical, forward-looking solutions that promote financial resilience and long-term prosperity.
The pledge is consistent with the Executive Order Fostering the Future of American Children and Families.
Also Thursday, South Dakota Governor Larry Rhoden announced a commitment to support First Lady Melania Trump’s efforts to strengthen the well-being of foster youth by ensuring Social Security survivor benefits for eligible foster children are protected through Trump Accounts. This action will help safeguard these benefits for foster youth across the state and support their long-term financial security.
“Our youth are the future of our state, and my Administration will continue to do everything we can to set them up for success,” said Governor Larry Rhoden. “I am grateful for First Lady Melania Trump’s efforts to strengthen the well-being of our foster youth. By participating in her efforts, we will ensure South Dakota’s foster youth can step into a financial future that is strong, safe, and free.”
Trump Accounts are proposed long-term savings and investment accounts designed to help children and youth build financial security from an early age. While all eligible children may participate through contributions from family members or guardians, foster youth who have lost a parent would have their Social Security survivor benefits deposited into their accounts, helping their financial foundation and support future independence.
The South Dakota Department of Social Services currently serves as a representative payee for approximately 75 children who receive Social Security survivor benefits.
This pledge also supports South Dakota First Lady Sandy Rhoden’s commitment to serving and supporting foster care youth. She serves on the board of South Dakota Kids Belong, a nonprofit that seeks to create a brighter future for foster kids across the state.
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