Senate May Have Opened Path for Undocumented Families to Use Trump Savings Accounts By Dropping Social Security Rule: Report

Senate Republicans have removed a key restriction from their domestic policy megabill commonly known as "big, beautiful bill" that could allow some undocumented immigrant families to benefit from newly proposed "Trump Accounts," as Politico points out.

Initially, the legislation included a requirement that at least one parent of a child using the accounts have a Social Security number. That language was dropped from the final version of the bill released just before it passed the Senate in a 51-50 vote, with Vice President JD Vance casting the tie-breaking vote.

Under the proposal, children must be U.S. citizens to qualify, but the omission of the parental Social Security number requirement has drawn criticism from some conservatives, as Politico points out. The accounts include a $1,000 federal contribution at birth and allow families to invest up to $5,000 per year, with funds accessible once the child turns 18 for uses such as education, home purchases, or business ventures.

"Come to the US illegally and when your child is born here, they'll get federally subsidized baby bonds," wrote George Callas, a former Republican tax aide, on X. He later added that "allowing illegal immigrants to get benefits for setting them up for their children just makes them even more liberal/progressive."

Some Republicans have long raised concerns over undocumented immigrants accessing benefits like the Child Tax Credit. Ironically, the same legislation adds a new requirement that parents must provide a Social Security number to claim the CTC—a measure not previously in place. Democrats reportedly pushed for the Social Security requirement to be removed from the Trump Accounts section, arguing it violated Senate reconciliation rules.

The "Trump Accounts" evolved from an earlier proposal described as a $5,000 "baby bonus" meant to promote childbirth, as MSNBC explains. While similar in structure to proposals like baby bonds championed by Sen. Cory Booker and Rep. Ayanna Pressley, critics argue Trump Accounts fall short of addressing wealth inequality. Unlike baby bonds, which are intended to be universal and progressive, Trump Accounts rely on voluntary family contributions and provide only a one-time $1,000 deposit.

The bill now moves to the House, where it faces an uncertain path. Republicans aim to send the legislation to former President Donald Trump's desk by July 4.