Newsom Praises Trump Accounts, Urges Californians to Claim

Newsom Praises Trump Accounts, Urges Californians to Claim

The News

California Gov. Gavin Newsom, one of President Trump's most persistent critics, told California families on Friday to claim the federal "Trump Accounts" that deposit $1,000 for eligible newborns — calling the program "one of the best things he's done."

Newsom made the remarks at a press conference in San Francisco, where he also announced a public-private partnership with the nonprofit Invest America to steer business and philanthropic money into both the federal accounts and California's own CalKIDS savings program.

"I'm enthusiastic about encouraging people to get a Trump account," Newsom told reporters, according to the New York Post.

Timeline

2022

California launches CalKIDS, a statewide children's savings program that gives eligible students up to $1,500 for college or career training, according to the governor's office.

2025-2028

Under the One Big Beautiful Bill, children born between January 1, 2025 and December 31, 2028 qualify for a $1,000 U.S. Treasury deposit into a federal 530A account, the accounts branded "Trump Accounts."

2026

The federal government launches the accounts. EdSource reports roughly 600,000 have been created so far for California children.

Friday, August 21, 2026

Newsom and First Partner Jennifer Siebel Newsom mark one million CalKIDS accounts claimed and launch what the governor's office calls the California Golden Start Challenge. Newsom praises the federal program at the same event.

Reactions

Newsom framed the accounts as money that belongs to children, not to a politician. "We're here to encourage people to take advantage of this, to not fall prey to the politics or the cynicism, or maybe even the fear that 'if I download a Trump Account, somehow that means something,'" he said, per EdSource. "It doesn't. It just means something for your kid. It's not Trump's money; it's your child's money."

He spread the credit around. "It's one of the best things he's done. It's one of the best things Ted Cruz has done. It's one of the best things Corey Booker has done — they were out there promoting it," the governor said, as quoted by the New York Post. He added: "This was one of the really outstanding things this administration has done. They deserve a lot of credit and I hope people get the benefit of this program and don't look at the politics of it."

Brad Gerstner, founder and chairman of Invest America, said in a statement released by the governor's office that "every child should have the chance to build an ownership stake in their future," and that California companies and philanthropists have "committed billions of dollars to Trump Accounts."

California State Treasurer Fiona Ma, who chairs the ScholarShare Investment Board, called the one million claimed CalKIDS accounts "an extraordinary milestone" and said the work continues "until every eligible student has claimed the scholarship available to them."

Right-leaning outlets seized on the moment. Newsmax and BizPac Review both led on the Democratic governor's enthusiasm for a Trump-branded program; the New York Times called him "an unlikely endorser."

What's Next

The California Golden Start Challenge asks businesses and philanthropies to contribute, with donations split between eligible CalKIDS accounts and federal 530A accounts, the governor's office said. Early commitments include $250 million pledged by Micron Technology, which covers $250 seed deposits for children with accounts in Sacramento and Santa Clara counties, and an anonymous $3.5 million gift creating a $500 deposit for every child born in San Francisco in 2026.

Michael and Susan Dell will add $250 apiece for 3.3 million eligible California children — more than $800 million in total, according to the governor's office.

California is also building a pilot tool, the Early Investment Accounts Navigator, due later this year, to show families every account their child qualifies for at the federal, state and local level, EdSource reported. Other states will be able to adapt it.

EdSource notes federal guidance on parts of the Trump Accounts program is still being written.

More

Any U.S. citizen with a child 18 or under can open a Trump Account, but the free $1,000 is limited to children born in the 2025-2028 window, the New York Post reported. Parents, guardians, family members and employers can contribute up to $5,000 a year. Gerstner estimated that $10 a week in contributions could grow to as much as $1 million by the time a child turns 55.

The idea polls well across party lines: 76% of American adults backed government-backed "baby bonds" in an Urban Institute survey conducted this year, according to the Post.

On the state side, California has established and funded more than 6 million CalKIDS accounts holding more than $2.3 billion, with one million now claimed. The program has helped 151,000 students, distributing $82.2 million, the governor's office said.

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