Invest America Act

The Invest America Act (S.1718) creates new tax-advantaged accounts for children, directly affecting U.S. citizens born after July 4, 2026, with at least one U.S. citizen parent. It establishes "Invest America accounts" that must invest exclusively in S&P 500 index funds, limit annual contributions to $5,000 (adjusted for inflation), and prohibit distributions before age 18. The federal government will automatically contribute $1,000 per eligible child to these accounts, with the contribution excluded from taxable income. These accounts are exempt from income tax but subject to unrelated business income tax, and must be administered by qualified financial institutions.