I learned about the Trump Account that Trump is promoting, which will be implemented starting mid-2026. It's quite interesting.

The government will give $1,000 in "national red envelopes" to newborns from 2025 to 2028, deposited into a stock account that defaults to investing in the S&P 500 index. The funds cannot be withdrawn before age 18 and will keep compounding; after turning 18, the child gains full control and can use the money for entrepreneurship, education, buying a house, investing, etc.

Parents can also contribute up to $5,000 per year into this account.

The government encourages some companies to contribute money to employees' newborns' accounts (as an employee benefit), which can be tax-deductible.

The recent $6.25 billion donation from the founders of Dell is also part of this plan, but it is allocated to children from low-income families, with an average distribution of $250 per child.

Based on the S&P 500's average annualized return of 10.26% over the past decade, when the child turns 18, $1,000 will grow to $5,560, and $6,000 will grow to $33,360.

Young people will experience the power of compound interest for the first time.