The first Trump accounts are quickly approaching, starting July 5, 2026. While the full details are too much to cover here, below are a few details we can help you with today.
What are Trump Accounts?
A Trump Account is a traditional IRA established for a child and designated as a Trump account at the time of opening. The assets will be owned by the child, while an adult is authorized to act on the child’s behalf until the child reaches age 18. Once the Trump accounts are made available, the Treasury Department will create and administer the initial accounts. Over time, you will be able to roll over the account to your financial institution.
Who is eligible?
Children under age 18 are eligible. For those children born between January 1, 2025 and December 31, 2028, the Treasury will add a one-time $1,000 contribution to your child’s account.
Children who aren’t eligible for the seed contributions can still open a Trump account. They just won’t receive the $1,000 contribution.
There is no “earned income” requirement for the child.
A few generous donors have come forth and offered additional seed money for children born outside the January 1, 2025 – December 31, 2028 timeframe. This includes $6.25 billion pledged by the Dell family for children under 10 in zip codes with a median household income under $150,000.
How do they work?
Trump Accounts will operate much like an IRA, but there will be special rules for contributions, withdrawals, and investments.
Who can contribute?
Contributions can come from individuals, employers, and even charities. Just keep in mind that each source has its own rules and tax treatment.
How much can you contribute?
The max contribution that can be made to a Trump Account in a given year is $5,000. However, the government seed amount and qualified charitable contributions don’t count toward the annual limit.
When can you withdraw from a Trump Account?
Withdrawals are highly restricted before age 18. Before age 18, distributions are generally not allowed except for limited rollovers. On January 1 of the year the child turns 18, the account can transition to a traditional IRA but it is not a requirement.
What are my investment options?
Investment options will be intentionally straightforward and simple. Mutual funds and ETFs that track an equity index will be made available. Expense ratios will be .10% or less. The idea is to obtain broad market exposure with very low costs.
How can I open a Trump Account?
You will need to make an election with the IRS by filing form 4547 or using the online tool at trumpaccounts.gov. Elections are scheduled for mid-2026, with accounts becoming available July 5, 2026.