US Treasury allows individual stock gifts for Trump Accounts

The US Department of the Treasury has updated its Trump Accounts program to allow companies and other donors to gift individual stocks to children's accounts. Under this new rule, gifted shares cannot be declined or sold for a period of five years.

Financial experts note that while this offers potential long-term tax-deferred growth for children, it shifts the program from a diversified investment vehicle to one that may leave minors with significant single-stock exposure. This change introduces new complexities for parents regarding investment risk, tax implications, and workplace compliance.

As part of this rollout, the Treasury Department has opened accounts for more than 60 million American children. Children born between 2025 and 2028 are eligible for a $1,000 government contribution, though parents must still claim it. Frank Bisignano, IRS CEO and Social Security administrator, described the initiative as a “generational” move for youth.