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Trump bill pledges $1,000 contribution for babies. How much would that be in Tennessee?
Another addition to the President Donald Trump's tax bill is a program to provide financial support for children born in the United States.
The program would create the Money Accounts for Growth and Advancement program, or MAGA accounts. Through the program, there would be a one-time contribution of $1,000 from the federal government to the child, and parents, churches, or private foundations are also eligible to contribute financially to the account.
House Republicans changed the name of the program from "MAGA accounts" to "Trump accounts" before the bill's passage last month, offering the president a tangible benefit for working-class Americans that he can put his stamp on.
Here is what current and future parents can expect from the program.
The program for American children born during Trump's current term would involve a one-time contribution of $1,000 per toddler from the federal government into a mutual fund or index fund tied to the performance of the stock market.
The legislation touts the program as "a new kind of savings account designed to incentivize education, entrepreneurship, and homeownership while promoting financial security."
The accounts are eligible to all future children born and all children under the age of eight by the time Jan. 1, 2026, rolls around.
The bill also allows parents, churches, and private foundations to make contributions of up to $5,000 annually during childhood, which the child can access upon turning 18 to pay for education, training, or a first-time home purchase.
Contributions to these accounts from tax-exempt entities, like private foundations, are not subject to the annual $5,000 limit but must be provided to all children within a qualified group, such as all children in a state, a school district, or an educational institution. The full balance would be available at age 30.
CEOs of several large corporations said they would make billions of dollars in additional investments into accounts for the children of their employees.
Dell Technologies, Salesforce, Uber, and Goldman Sachs were among the companies the White House said would participate.
According to the University of Tennessee's data center, there were 83,742 live births in Tennessee in 2024. This was the highest number of children born since 2008, when 85,560 babies were born.
The program pertains to children under eight years old as of Jan. 1, 2026. There were 489,884 live births in Tennessee between 2019 and 2024, the most recent year for which data is available. Taking into account the rising birth rates, a low estimate for 2025's live births would be 83,000, which would increase the total children eligible to 572,884.
This would amount to $572,884,000 for Tennessee alone, assuming every child eligible is signed up for the program.
In 2023, Tennessee had a fertility rate of 58.9 per 1,000 women of reproductive age. This is the 14th highest fertility rate in the country.
This article originally appeared on Memphis Commercial Appeal: Trump bill sets up cash accounts for kids. How much would TN get?
