The michael and susan dell foundation announced a landmark $6.25 billion commitment on December 2, 2025, aimed at helping 25 million U.S. children build long-term financial assets through newly created investment accounts. The pledge places $250 into each qualified child’s account and aligns with a federal program that seeds eligible children’s accounts with an initial $1,000 deposit.
This marks the largest single commitment in the foundation’s history and reinforces its long-standing mission to expand opportunities across education, health, and family economic stability.
Table of Contents
Overview of the $6.25 Billion Initiative
The new pledge focuses on children under age 10 who live in ZIP codes where family incomes typically fall at or below middle-income thresholds. Each qualifying child will receive a $250 deposit funded directly by the foundation.
These accounts are structured to invest in broad market index funds until recipients turn 18, giving families the potential benefit of compound growth over time.
Key Details:
- Total pledge: $6.25 billion
- Number of children reached: 25 million
- Direct deposit amount: $250 per child
- Investment style: Index fund–based accounts held until age 18
- Eligibility emphasis: Children in ZIP codes with median family incomes at or below $150,000
- Federal supplement: $1,000 seed deposit for children born between 2025 and 2028
Why the Foundation Made This Commitment
For over two decades, the Michael and Susan Dell Foundation has focused on improving educational access, health outcomes, and financial mobility. The new pledge connects to the foundation’s goal of helping families build long-term financial stability through assets rather than short-term relief alone.
Foundation leaders describe the initiative as an opportunity to scale wealth-building tools for children who may not otherwise have access to early investment resources. The intention is to spark broader economic mobility by giving young Americans a financial foothold as they enter adulthood.
How the Program Works
This initiative pairs private philanthropic funds with a federal children’s investment account program. Qualifying families will be able to activate these accounts once official enrollment instructions are released by the U.S. Treasury.
How the funds will be distributed:
- Accounts are set up for eligible children based on age and ZIP code.
- The foundation deposits $250 into each account.
- The federal government deposits an additional $1,000 for qualifying birth-year cohorts.
- Funds remain invested in index funds until age 18.
What families can use the funds for at age 18:
- Higher education
- Job training
- A first home
- Entrepreneurship
- Other approved financial stability goals
Potential Benefits for U.S. Families
Supporters say the scale of this pledge could change how millions of families approach financial planning. Early investment exposure can grow significantly through compound returns, especially when funds are untouched for nearly two decades.
Possible long-term benefits:
- Earlier access to college savings
- Reduced reliance on student loans
- Increased first-home buying potential
- A head start for young entrepreneurs
- Greater financial literacy among families with limited investment experience
This initiative also highlights a growing trend among philanthropists to support asset-building programs rather than traditional short-term assistance.
Concerns and Public Debate
While many applaud the size and ambition of the pledge, not all feedback has been positive. Some experts argue that long-term financial accounts do little for families currently struggling with housing, food, or health costs. Others note that investment accounts rely on market performance, which can fluctuate.
Critics also express concern that long-term accounts should complement — not replace — short-term social programs, especially for families in distress. Despite these viewpoints, the initiative has sparked a nationwide conversation about how to support children’s futures more effectively.
The Foundation’s Track Record
The Michael and Susan Dell Foundation has spent over 25 years working on programs that support:
- K–12 education reform
- College success initiatives
- Public health innovations
- Family economic mobility
- Workforce development
- Financial services for underserved communities
The new $6.25 billion commitment builds on this history while representing the most extensive financial pledge the foundation has made to date.
What Comes Next
Families can expect further guidance as the Treasury Department finalizes enrollment and activation procedures for these accounts. Additional program details, including partner organizations and outreach plans in eligible ZIP codes, are expected in the coming weeks.
The foundation is preparing large-scale outreach efforts to ensure that all eligible families are aware of the opportunity and know how to activate the accounts once the system opens.
A Transformational Philanthropic Moment
The Michael and Susan Dell Foundation’s $6.25 billion investment marks one of the largest single philanthropic contributions aimed at children’s financial futures. Its long-term focus and nationwide scope make it a significant moment in modern philanthropy, with the potential to reshape how millions of children enter adulthood.
Share your thoughts below — do you think long-term investment accounts are the right way to expand opportunity for the next generation?