Millions of American families could qualify for $1,000 government payments for children under a new federal savings initiative set to launch in 2026.
The Internal Revenue Service recently released guidance explaining who qualifies and how families can enroll in the program.
Lawmakers created the accounts through the One Big Beautiful Bill Act, which Congress passed in 2025.
How the $1,000 payment works
The program creates savings accounts for eligible children. Once a family opens an account, the federal government will deposit a one-time $1,000 contribution.
Parents or guardians must open the account before the government deposits the payment.
After that, the person who opens the account manages it until the child becomes an adult.
Who qualifies for the payment
According to the IRS, several requirements must be met.
Eligible children must:
• Be born in 2025, 2026, 2027, or 2028
• Be a United States citizen
• Have a valid Social Security number
• Not already have an account through the pilot program
Therefore, many families with newborn children in those years could qualify.
How families enroll
Parents can enroll their children when filing a federal tax return. However, they can also sign up through an IRS website.
To complete the process, families must submit IRS Form 4547. The form opens the account and allows parents to request the government contribution.
Meanwhile, the IRS says families will have until December 31 of the year the child turns 17 to claim the payment.
When the program will begin
Federal officials expect the program to launch later this year.
According to Treasury officials, families will be able to begin contributing to the accounts after July 4, when the system officially opens.
Interest in the program already appears strong.
Treasury Secretary Scott Bessent recently said families have submitted about 2 million account forms covering roughly 3 million children.
What the accounts are designed to do
Supporters say the accounts will help families build long-term savings.
For example, children could eventually use the money for education, housing, or retirement investments.
IRS CEO Frank J. Bisignano said the initiative aims to strengthen financial stability for future generations.
“Trump Accounts are a pro-family initiative that will help millions of Americans harness the strength of our economy,” Bisignano said.
However, economists continue to debate whether the program will significantly expand wealth building for lower-income families.
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