Trump Accounts
What Is a Trump Account? 1
A Trump Account is a new type of individual retirement account (IRA) created for an eligible child under age 18. The account is owned in the child’s name but generally established and controlled by a parent or guardian until the child reaches adulthood.
Who Is Eligible? 1
- The child must:
- Be a U.S. citizen
- Have a valid Social Security number
- Be under age 18 in the year the account election is made
- Parents or guardians typically make the election to establish the account
Contribution Rules 1
Who can contribute and how much:
- Parents, relatives, or others may contribute up to $5,000 per year in total
- Employers may contribute up to $2,500 per year (counting toward the $5,000 annual limit) on behalf of an employee or their dependent
- Employer contributions are excluded from the employee’s taxable income
- Contributions cannot begin before July 4, 2026
- Contribution limits will be indexed for inflation starting after 2027
Additional Information:
- Trump account basics: Trump Accounts - Jumpstarting the American Dream
- The IRS notice: Notice of intent to issue regulations with respect to section 530A Trump accounts
- Up and coming information: Treasury, IRS issue guidance on Trump Accounts established under the Working Families Tax Cuts; notice announces upcoming regulations | Internal Revenue Service
1: Internal Revenue Service, Notice 2025‑68: Guidance on Trump Accounts Established Under the Working Families Tax Cuts (December 2, 2025)
CRN202805-10911579
