Lt. Gov. Dan Patrick wants the state to give every newborn $1,000, building off the federal governments newly established retirement funds for children, known as Trump accounts.

The Texas Republican said the “New Little Texan Savings Fund” will be a top priority when lawmakers return to Austin in 2027. The proposal would give newborn Texans $1,000  to invest in the S&P 500 as aligned with the federal program, Patrick said. He estimated it would cost the state about $400 million a year, or roughly 1% of current total spending. And he vowed to push for a constitutional amendment making it permanent.  

“If I see a great idea from the President that helps Texans, my first question is always, ‘why not do it in Texas, too?’” Patrick wrote in a post on X detailing the proposal. “This is a great way to return money back to families and to teach the value of savings and compound interest to young Texans.”

U.S. Sen. Ted Cruz, a Texas Republican who authored the legislation creating the federal retirement accounts, called Patrick’s announcement “fantastic.”

“Trump Accounts will create a whole new generation of capitalists invested in America’s success,” Cruz said. “I’m thrilled to see the Lone Star State and my good friend @DanPatrick taking this even further for Texas kids.”

The federal program allows children to continue investing money in the Trump accounts once they turn 18 or withdraw it to help buy a home, start a business or continue their education. The accounts don’t have the same tax benefits as traditional retirement accounts.

Patrick’s proposal drew immediate pushback from some conservatives. 

Jeramy Kitchen, president of the conservative think tank Texas Policy Research, wrote it was “a borderline socialist approach to family finance.”

“This is absolutely horrific and an absolutely terrible, terrible idea — not only at the federal level, but state level as well,” Konni Burton, a former state senator, wrote in response to Patrick’s X post. “This should not pass.”

Conservative radio host Chad Hasty responded simply: “No!!”