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The president unveiled new policies including a retirement program proposal, lower energy costs tied to data centers, and a task force to combat fraud.
President Donald Trump highlighted his economic agenda in a record-long State of the Union address, declaring the United States is “bigger, richer, and stronger than ever before.”
In his 1-hour 47-minute-long speech, the president introduced multiple guests to spotlight the impacts of his policies, from no-tax-on-tips to Trump Accounts.
The president awarded the Medal of Honor to a Korean War hero and to a helicopter pilot wounded in the mission to capture Venezuelan Leader Nicolás Maduro, and announced that he would award the Medal of Freedom to USA men’s hockey team goalie Connor Hellebuyck.
Here are eight takeaways from the president’s speech.
New Retirement Program Proposal
Trump’s speech focused in part on bettering Americans’ financial situation through new policies on retirement accounts and homeownership.
“Next year, my administration will give these often forgotten American workers—great people, the people that built our country—access to the same type of retirement plan offered to every federal worker,” Trump said.
His policy will provide 401(k) plans for workers whose employers don’t provide them, with up to $1,000 a year in matching contributions. Estimates suggest that about 56 million workers currently have no employer‑sponsored retirement plan.
The president also touted lower housing costs during his administration.
“Mortgage rates are the lowest in four years and falling fast,” he said. The average 30-year fixed-rate mortgage is around 6 percent, down from 7 percent when Trump took office.
Trump also championed his recent executive order clamping down on large institutional investors buying single-family homes. He urged Congress to make his ban permanent because “we want homes for people, not for corporations.”
Trump pointed to guest Rachel Wiggins, a mother of two who’s lost out on 20 bids on homes to large investment firms, “stealing away her American Dream.”
“We want homes for people, not for corporations,” the president said.
Data Center Energy Deal With Big Tech
Trump unveiled a deal with big tech firms that will have them shoulder more of the electricity costs generated as a result of data centers, used for artificial intelligence (AI) development.
“We’re telling the major tech companies that they have the obligation to provide for their own power needs,” he said, describing it as a “rate payer protection pledge.”
“They can build their own power plants as part of their factory, so that no one’s prices will go up and, in many cases, prices of electricity will go down for the community, and very substantially down.”
Since returning to office in January 2025, Trump has promoted the “co-location” of new energy sources and data centers to accelerate the build-out of AI infrastructure with initiatives that fast-track permits, reduce regulatory hurdles, and make federal land available for these projects.
The president said this “unique strategy never used in this country before … will ensure the company’s ability to get electricity, while, at the same time, lowering prices of electricity for you.”
Medal Highlights
Throughout his address, Trump took the opportunity to bestow Americans with official recognitions, connecting stories of heroism and accomplishment to the first year of his second presidential term.
Trump first announced he would present the Presidential Medal of Freedom to Hellebuyck following Team USA’s Olympic gold medal hockey game on Sunday. The Presidential Medal of Freedom is considered tied with the Congressional Gold Medal as the highest official U.S. award for civilians.
