Everything you need to know about Trump Accounts
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At a glance
- Trump Accounts are available to children under 18 with a valid Social Security number.
- A one-time $1,000 deposit from the federal government is being offered for eligible infants born between 2025 and 2028.
- Parents or guardians manage the account until the child turns 18.
- Family, employers, and approved donors can all contribute to the account.
Trump Accounts, also known as Section 530A accounts, are a new type of investment account for children, created as part of the One Big Beautiful Bill Act signed into law on July 4, 2025.
The accounts are designed for long-term savings and are available to all eligible children, regardless of income—meaning families on SNAP or other government assistance can open one too.
A parent or guardian opens and manages the account on the child's behalf until the child turns 18, when it converts to a traditional IRA and the child takes full control. Contributions grow tax-deferred inside the account and cannot be withdrawn during that time.
Invest America is a program helping families navigate and access Trump Accounts. To sign up and learn more, visit investamerica.org.
What are Trump Accounts?#what-are-trump-accounts
Trump Accounts are tax-advantaged investment accounts for children under 18. They are similar to an IRA (individual retirement account), but unlike typical IRAs, Trump Accounts are designed specifically for minors and allow parents or guardians to contribute on a child’s behalf, even if the child has no earned income.
The money grows tax-deferred, meaning it isn't taxed while it remains in the account. The child has control of the account when they turn 18. When the child withdraws funds, any investment gains are taxed as ordinary income.
Because Trump Accounts are intended for long-term savings, leaving money in the account over many years gives it more time to grow through investment returns. The earlier contributions start and the longer they remain invested, the greater the potential for growth—just like other long-term investment accounts.
The federal government will deposit $1,000 into the account for eligible infants born between 2025 and 2028. However, the account itself is not dependent on this contribution. Families can still open and contribute to a Trump Account even if they do not receive the $1,000 deposit.
The $1,000 government deposit for infants#the-1-000-government-deposit-for-infants
One of the main features of Trump Accounts is a one-time $1,000 deposit from the federal government for eligible infants.
The U.S. Treasury will deposit $1,000 into the account soon after the official launch this summer. The money is then invested and can grow over time. You can sign up for Trump Accounts now, but they do not officially open until July 4, 2026.
This government contribution is only available to children born between 2025 and 2028. You get one Trump Account per child. For example, if you have twins born in 2027, you'd open two separate accounts, and each child would receive their own $1,000 government deposit.
If a parent opens an account for a child born before 2025, the account can still receive family, employer, and other contributions, but it will not get the $1,000 deposit.
Like other money in the account, the $1,000 cannot be withdrawn until the child turns 18.
Trump Account eligibility#trump-account-eligibility
Any child who is under 18 as of December 31 of the year the account is opened and has a Social Security number (SSN) is eligible. There are no income limits, so being on SNAP or other government assistance does not disqualify your child from a Trump Account.
A parent or guardian opens and manages the account on the child’s behalf. The child must have an SSN to establish the account. While the law does not specifically list an SSN requirement for the parent or guardian, IRS Form 4547—the form used to open the account—requires the parent or guardian to provide either an SSN or an individual taxpayer identification number (ITIN).
How do Trump Accounts work?#how-do-trump-accounts-work
Trump Accounts allow family members, employers, and other approved contributors to save and invest money for a child’s future. The accounts have specific rules for how money can be added, how it must be invested, and when funds can be withdrawn.
Contributions#contributions
Parents, guardians, grandparents, other family members, and employers can contribute to a child’s Trump Account. The annual contribution limit is $5,000, with employers allowed to contribute up to $2,500 of that total. This limit will be adjusted for inflation starting in 2028.
Contributions from individuals are made with after-tax dollars and are not tax-deductible, while employer contributions can be pre-tax and not counted as taxable income for the employee.
In addition to family and employer contributions, nonprofits and philanthropic donors may also contribute. Some companies have announced plans to match employee contributions, and several philanthropists have pledged deposits for eligible children. For example, as part of the Invest America program, Michael and Susan Dell have committed billions of dollars to provide $250 deposits for children 10 and under (born between 2016 and 2024) who live in ZIP codes with median incomes below $150,000. The first 25 million accounts created for eligible children will receive the $250.
Example philanthropic and institutional contributions
| Contributor | Contribution | Who may qualify |
|---|---|---|
| The Dells | $250 deposit per child (part of a $6.25B pledge) | Children aged 2-10 living in ZIP codes with median incomes below $150,000 |
| Ray & Barbara Dalio | $250 deposit per child (part of a $75M philanthropic fund) | Children aged 2-10 living in Connecticut ZIP codes with median incomes below $150,000 |
| Brad Gerstner / Altimeter Capital | $250 deposit per child | Children under age 5 living in Indiana |
| Employers (various companies) | Matching or contributing to employee accounts | Employees’ children |
Additional programs may be announced as the initiative develops. You can visit Invest America to see organizations supporting or exploring contributions to Trump Accounts.
Investments#investments
Money in a Trump Account will be invested in low-cost funds that follow the overall U.S. stock market, such as the S&P 500. This means the account’s value goes up or down based on how the stock market performs.
Investment options are restricted to low-cost, broad-market index funds — parents or guardians cannot invest in individual stocks or other fund types outside of those approved options.
When the child turns 18, the account converts to a standard traditional IRA. At that point, the child takes full control and can withdraw funds, move money to a new account, or leave it invested—though withdrawals are subject to standard IRA tax rules and, depending on how the money is used, may also incur penalties.
There are no fees to open or manage the account. But there is an annual fee which slightly reduces growth over time—capped by law at 0.1% per year.
Withdrawals#withdrawals
Withdrawals are not allowed before the child turns 18. There are no hardship or emergency exceptions.
Once the account holder turns 18, they can withdraw any amount of money from the account for any purpose.
At that point, standard tax rules apply. Withdrawals are taxed as ordinary income, and if money is withdrawn before age 59½, a 10% early withdrawal penalty may apply. However, some exceptions allow penalty-free withdrawals, including first-time home purchases or qualified higher education expenses.
What if my child does not qualify for any donor contributions? Should I still register?#what-if-my-child-does-not-qualify-for-any-donor-contributions-should-i-still-register
Not all donor programs have been announced yet. More organizations, foundations, and employers may contribute in the months ahead, some targeted at specific regions, income levels, or demographics. Your child may still qualify for programs that haven’t been announced yet.
If you do register for an account, having one already in place means your child won't miss out if new donations that they're eligible for are created.
FAQs#faqs
Will a Trump Account affect SNAP benefits?#will-a-trump-account-affect-snap-benefits
Generally, no. Because Trump Account funds cannot be touched until the child turns 18, they are not considered available cash and should not count toward SNAP's income or asset test, even in states with an asset limit.
Rules can vary by state, so check with your local SNAP office if you have questions.
Are Trump Accounts available now?#are-trump-accounts-available-now
Trump Accounts aren't fully active yet. Parents can already enroll in an account for their child through the online portal at trumpaccounts.gov. However, contributions—including the $1,000 government deposit for eligible children—won't be available until July 4, 2026, when the accounts officially launch.
If you sign up using the form, you're electing to open an account. Starting in May 2026, you'll receive instructions from the Treasury Department on how to complete the account activation process online.
After you have created the account, your child’s $1,000 government deposit (if they qualify) will be added to the account automatically—no additional action is needed. Eligible families can expect the deposit no earlier than July 4, 2026, after enrollment is verified.
Can non-citizen or undocumented parents open a Trump Account for their child?#can-non-citizen-or-undocumented-parents-open-a-trump-account-for-their-child
A Trump Account can be opened for a child only if the child has a valid SSN. To open a Trump Account, the parent or guardian must provide their personal identifying information, including their name and either an SSN or an ITIN on IRS Form 4547.
However, given that immigration policies and enforcement are actively changing, undocumented parents who have concerns about sharing personal information with a federal program should speak with a trusted immigration attorney or tax professional before proceeding.
Where are Trump Accounts held?#where-are-trump-accounts-held
Trump Accounts are initially created and held through a partnership between two institutions selected by the U.S. Treasury: BNY (The Bank of New York Mellon Corporation) serves as the financial agent and manages the accounts, while Robinhood serves as the brokerage and initial trustee.
Parents or guardians manage the account until the child turns 18. They will be able to access and manage the account through a dedicated Trump Accounts app, built by Robinhood and BNY in partnership with the U.S. Treasury, where they can view the account balance and track investment performance.
What can my child use the money for?#what-can-my-child-use-the-money-for
Once the child turns 18, they gain control of the account. At that time, and any time after, they can withdraw money for any purpose. For example, the money can be used for college, a first home, a vehicle, starting a business, retirement savings, or other goals.
Withdrawals don’t need to be for a specific qualifying reason. However, withdrawals are generally taxed as income, and taking money out before age 59½ may result in a 10% early withdrawal penalty unless an exception applies.
What are the benefits of a tax-advantaged investment account?#what-are-the-benefits-of-a-tax-advantaged-investment-account
A tax-advantaged investment account allows money to grow over time with certain tax benefits. In most cases, like with Trump Accounts, investment earnings can grow tax-deferred, meaning you won’t pay taxes on gains each year as the account grows.
This can help the balance grow faster over time compared to a regular savings or investment account. However, taxes may apply when money is withdrawn, depending on the account rules and the account holder’s age.
Is there a deadline to sign up?#is-there-a-deadline-to-sign-up
There is no official deadline to open a Trump Account. However, some benefits tied to the account may be limited by eligibility requirements.
For example, the $1,000 government deposit is only available for children born between 2025 and 2028, and certain private or philanthropic contributions may be limited by age, timing, or the number of accounts funded. Opening an account sooner can help ensure your child qualifies for any available contributions.
Do I need to have a bank account or a credit card to open a Trump Account?#do-i-need-to-have-a-bank-account-or-a-credit-card-to-open-a-trump-account
You don't need a credit card to open a Trump Account. As for a bank account, the official platform has not yet launched, so the exact requirements for linking one to make contributions or manage the account are not yet fully confirmed. Check trumpaccounts.gov for the most up-to-date information once the platform goes live on July 4, 2026.
At a minimum, you’ll need to provide identifying information for the child and parent or guardian, such as a SSN (or ITIN, if applicable), to create and manage the account.
How do I get the $250 Dells' gift?#how-do-i-get-the-250-dells-gift
Eligible children will receive a $250 contribution from the Dells after their Trump Account is opened.
To qualify, the child must be age 10 or younger (born before Jan. 1, 2025) and live in a ZIP code with a median household income below $150,000.
The $250 is deposited automatically—there’s no separate application required. However, funding is limited to the first 25 million eligible children who open accounts, so opening an account early can help ensure your child receives the contribution.
Children qualify for either the federal seed money or the Dell gift, but not both. The $1,000 government payment is for those born between January 1, 2025, and December 31, 2028. The Dell gift is strictly for older children born between 2016 and 2024.
Does the account disappear after Trump leaves office?#does-the-account-disappear-after-trump-leaves-office
No. Trump Accounts are designed to be long-term investment accounts tied to the child, not to a specific administration.
Once the account is created, it remains in place regardless of political changes. The funds stay invested and continue to belong to the child, who takes full control at age 18.
What happens if I don't open a Trump Account for my baby?#what-happens-if-i-dont-open-a-trump-account-for-my-baby
Trump Accounts are not automatic—you must open one for your child. If you don’t set one up, your child simply won’t have a Trump Account or receive the potential benefits, including the one-time $1,000 government deposit for eligible infants.
There isn’t a hard deadline to open an account, though some donor contributions may have age or enrollment limits. For example, certain philanthropic deposits, like those from the Dells, are limited to the first 25 million younger children who are registered.
Other savings options, such as 529 college savings plans or custodial accounts, are always available, and you can continue saving outside of a Trump Account.
