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Trump Accounts, an Invest America initiative to invest early for your children’s future

Trump Accounts is an Invest America initiative designed to make it easier to start investing for children's long-term goals. This tax-advantaged investment account for children is managed by a parent or legal guardian—starting with a $1,000 initial contribution from the U.S. Treasury for eligible children born between January 1, 2025 and December 31, 2028.

 

Open a Trump Account at trumpaccounts.govOpens overlay, the official government website. Rollovers to financial institutions, including J.P. Morgan, aren’t available yet. We’ll share updates as soon as they become available.

Go to trumpaccounts.govOpens overlay

What is a Trump Account?

A Trump Account is a new, tax-advantaged IRA that helps you invest early for a child’s retirement and long-term goals and can be opened for any U.S. citizen under 18 with a valid Social Security number.

 

View frequently asked questions

$1,000 initial contribution from the U.S. Treasury

Children born between January 1, 2025 and December 31, 2028 automatically receive a one-time $1,000 contribution from the U.S. Treasury.

Flexible contribution sources, including employers and charitable gifts

A parent or legal guardian can deposit up to $5,000 per year, per child. Employers can contribute up to $2,500 tax-free. Charities, states and local governments can contribute with no limits. Learn more.

Low-cost investment options

Investments are limited to low-cost U.S. stock index funds designed for long-term growth, driven by the government.

Tax-deferred growth

Earnings grow tax-deferred, and withdrawals after age 18 are taxed at the child's rate. After age 18, the account converts to a Traditional IRA, continuing to grow toward retirement, or funds can be accessed for qualified expenses such as higher education, a first home purchase or starting a business (subject to certain restrictions and taxes).

How do I open a Trump Account for my child?

Apply using the online tool at trumpaccounts.govOpens overlay or by filing IRS Form 4547. After you complete the process, the U.S. Treasury will send you instructions to activate the account.

To get started, you'll need:

  • Your Social Security number
  • Your driver’s license number
  • The birth date and Social Security number of the child the account is for

When can I rollover Trump Accounts to J.P. Morgan?

Rollovers to J.P. Morgan are not yet available. We'll share step-by-step guidance and updates as soon as they're available, so you can manage your child's Trump Account alongside your banking and investing in one secure place with J.P. Morgan.

 

In the meantime, learn about other ways to save for your child's future, such as UTMA accounts or 529 plans.

Learn about UTMA accountsLearn about 529 plans

Compare investing options for your child's future

Trump Account

 

Early investing for children's retirement and long-term goals.

529 plan

 

Designed specifically for saving for children's education expenses.

UTMA account

 

Flexible saving, allowing funds to be used for a wide range of expenses that benefit the child.

Initial deposit

  • $1,000 initial contribution from the U.S. Treasury for U.S. citizens with a Social Security number born between Jan. 1, 2025 and Dec. 31, 2028.
  • No minimum required for additional deposits.
  • No minimum (varies by state).
  • No minimum.

Who can contribute?

  • Parents, guardians, family or other individuals can contribute up to $5,000 annually during the growth period.
  • Employers can contribute up to $2,500 per employee, annually (counts towards $5,000 limit).
  • Charities and government can contribute with no limits and do not count towards the annual limit.
  • Anyone, with no annual limit; most states limit total contributions.
  • Anyone, with no annual limit, but contributions are subject to federal gift tax rules.

Tax implications

  • Grows tax-deferred; withdrawals are taxed as ordinary income and may face early-withdrawal tax.
  • Tracking pre-tax vs. post-tax contributions can add complexity. 
  • Employer contributions aren’t treated as employee income.
  • Grows tax-deferred. 
  • Withdrawals for qualified education expenses are tax-free. 
  • If funds are used for non-qualified expenses, only the earnings portion is subject to ordinary income tax and a 10% federal tax penalty. 
  • Principal can be withdrawn without tax or penalty.
  • For more information, please see the IRS guidance on 529 plansOpens overlay.
  • A portion of unearned income may be tax-free. Additional amounts may be taxed at the child's rate or the parent's rate under “kiddie tax” rules (generally applies until age 19, or 24 if a full-time student).

Who controls it?

  • Authorized individual (generally parent or legal guardian) until December 31 of the year before the child turns 18, at which time the beneficiary may be able to take control of the account.
  • Only one authorized individual can be the custodian.
  • Anytime, tax-free for qualified higher education expenses. 
  • Penalty for withdrawal if used for non-educational expenses.
  • Anytime, for any purpose that exclusively benefits the child. 
  • No early withdrawal tax penalty fees, but taxes are still owed on any income your investments earn.

When can the funds be used?

  • During growth period (until the child turns 18) distributions are restricted.
  • After growth period subject to traditional IRA withdrawal rules (generally, anytime, for any reason). 
  • Subject to early withdrawal tax unless an exception appliesOpens overlay.
  • Anytime, tax-free for qualified higher education expenses. 
  • Penalty for withdrawal if used for non-educational expenses.
  • Anytime, for any purpose that exclusively benefits the child. 
  • No early withdrawal tax penalty fees, but taxes are still owed on any income your investments earn.

Financial aid impact

  • Counted as the student's asset; may reduce eligibility for need-based aid.
  • Counted as a parent asset (if owned by parent); generally has a smaller impact on need-based aid.
  • Counted as the student’s asset; may reduce eligibility for need-based aid.

Frequently asked questions

Trump Accounts, formally established as 530A accounts under the Internal Revenue Code, are meant to provide for a child’s savings and are intended to grow over time through investment in only low-cost index funds. The account can grow with the market over the course of your child’s life.

 

A parent or legal guardian can contribute up to $5,000 per year, per child. Contributions are limited to $5,000 total per year, per child, including employer contributions of up to $2,500 tax-free. Charities, states and local governments can contribute with no limits.

Contributions grow tax-deferred, but they are not tax-deductible for contributors. After the child turns 18, the account converts to a Traditional IRA. Trump Accounts are generally subject to Traditional IRA tax rules, including penalty-free distributions for qualified expenses such as education, a first home purchase or distributions made after age 59 1/2. Withdrawals may be subject to restrictions and would be taxed at ordinary income rates.

Trump Accounts are for any U.S citizen under 18 with a Social Security Number. Children born between January 1, 2025 and December 31, 2028 are eligible to receive a one-time a $1,000 contribution from the U.S. Treasury, also known as a government seed deposit. All other eligible children can still open an account and enjoy the same tax advantages. There is a limit of one Trump Account per child.

During the growth period (until the child turns 18), Trump Accounts may be rolled over to another financial institution where available. Your account’s tax benefits and future eligible third-party contributions (including government, employer and charitable contributions) will remain intact after a rollover.

 

Rollovers to J.P. Morgan are not yet available but will be in the future. 

No withdrawals are allowed from a Trump Account until the growth period ends on December 31, the year before the child turns 18.  Exceptions include returns of excess contributions or upon the death of the child. Transfers between trustees are allowed.

Money in a Trump Account must generally be invested in broad U.S. equity index funds with no leverage or annual fees and expenses capped at 0.1%.

If your child is eligible, the U.S. Treasury Department will deposit the $1,000 initial contribution after the Trump Account is opened. You will receive the initial contribution even if you roll over your Trump Account to J.P. Morgan.

Parents, guardians, family and other individuals can contribute in total up to $5,000 annually.

 

Employer contributions of up to $2,500 per year, per employee count toward the $5,000 annual contribution limit. If both parents have qualifying employers, each can contribute up to $2,500 per year. If you have two or more children, your employer's total contribution across all of your children's accounts cannot exceed $2,500. See which employers are contributing to Trump AccountsOpens overlay.

 

The $1,000 initial contribution from the U.S. Treasury and any contributions from charitable organizations do not count toward the $5,000 annual contribution limit.

No, there is no earned income requirement for contributions to Trump Accounts during the growth period.

When a child reaches the end of the growth period, when the child turns 18, the child may be able to take control of the Trump Account, which is then generally treated like a Traditional IRA, with standard rules for contributions and withdrawals.