Scott Bessent releases President Trump’s official account website
The Treasury Department released the Trump Account website and the IRS noted that parents will need to file a new Form 4547.
If you didn’t know about the “Trump Account” until a week ago, you probably have by now.
The federal government’s Newborn Savings Program got a big boost in visibility during Sunday’s Super Bowl thanks to strategically placed ads.
The initiative will deposit $1,000 into a savings account for every child born between 2025 and 2028. This is basically an IRA for your child. Pledges from philanthropists and American companies have poured in, potentially expanding the program’s reach.
Here, we’ll explain everything you need to know about the Trump Account, starting with how to get one.
When will Trump Account be available?
The Trump account will launch on July 5, 2026. Donations cannot be made before that date.
How do I open a Trump account?
Parents or legal guardians have at least two options for opening an account. The newest and easiest method is to file IRS Form 4547 online at trumpaccounts.gov. This form asks for your date of birth, social security number, and contact information.
You can also file Form 4547 with your 2025 tax return.
Vanguard advises eligible families to consider submitting their forms early to ensure their accounts are ready for rollout in July.
After filing, the IRS will establish a Trump account. The official website states that “the affiliated financial company where the Trump account is held will contact you shortly and provide detailed instructions on how to complete the setup.”
The guidance document says the process will begin in May.
One detail that has not yet been made public is the identity of the “affiliated financial company” that will manage the account.
When will $1,000 be deposited into your Trump account?
The seed money will be deposited into Trump’s account after July 4 and “as soon as practicable” after the account is verified, according to a Treasury Department guidance document.
Who actually owns the Trump account?
Trump accounts are owned by children but managed by adults until the child turns 18, according to Fidelity Investments.
Who is eligible for a Trump account?
All US citizens born between 2025 and 2028 are eligible to obtain a Trump Account. Must have a social security number.
U.S. children under the age of 18 born before 2025 will also be eligible for a Trump Account, which will have all the same features but will not receive the $1,000 seed money from the federal government.
Only one Trump Account may be opened per child.
When can I withdraw my funds?
In this regard, the facts remain unclear.
According to IRS rules, you can begin receiving distributions from your Trump account starting January 1 of the year you turn 18.
However, that guidance could change to only allow withdrawals after the child turns 18.th said Rita Assaf, Fidelity’s vice president of retirement promotions. Reason: Children under the age of 18 do not have the same legal rights as adults.
From that point on, the Trump Account will function like an individual retirement account. IRA rules generally include penalties for withdrawals before age 59 1/2, with some qualifying exceptions such as first-time home purchases, higher education, and medical expenses. After age 59 1/2, you can withdraw IRA funds without penalty.
How can I invest money in a Trump account?
The Trump account comes with unusual restrictions. Funds can only be invested in low-cost index funds, i.e. mutual funds or ETFs that track an index of “primarily” U.S. stocks. According to IRS guidance, at least 90% of the funds must be invested in U.S. companies. The Fund may not charge an expense ratio of more than 0.1%. The expense ratio is basically an administrative fee.
J. Spencer Williams, founder and CEO of financial technology company Retirement Clearinghouse, said this is a unique rule with an overarching theme of “Investing in America.”
Once a child turns 18, the rules change and the Trump account becomes a “regular IRA,” Williams said. Account holders then have more freedom to choose how to invest their funds.
Who will manage Trump’s account?
The U.S. Treasury Department will create and manage the Trump account, and an as-yet-unnamed “partner company” will be the administrator.
Eventually, families will be allowed to move their accounts to outside financial providers. It’s probably the same company that already manages your 401(k) and IRA accounts.
Who can contribute to a Trump account?
Donations can come from almost anyone: individuals, employers, governments, philanthropists, and charities.
How much can I donate to my Trump account?
The contribution limit is $5,000 per year. However, one-time “seed” contributions from governments do not count toward the annual limit, nor do contributions from governments or charities.
Employers can contribute up to $2,500 per employee per year, which can be split among multiple children. Employees can transfer their pre-tax paychecks to Trump accounts. These contributions count toward the $5,000 annual limit.
The annual limit is indexed to inflation and increases over time.
How are Trump Accounts Taxed?
Individual contributions to the Trump account typically come from after-tax dollars. If these funds are withdrawn, only the gains will be taxed, Vanguard advises.
Contributions from other sources, such as employers and employees, charities and governments, are pre-tax, so the full amount withdrawn is taxed.
With so many potential contributors and different tax rules and variable contribution limits, Trump account holders may have a hard time keeping track of them.
“It’s unclear what happens when your grandfather puts in money and your employer puts in money,” Williams said. “It’s unclear how all this will resolve itself over time.”
Who announced the Trump Account Matching Fund?
Philanthropists Michael and Susan Dell have pledged $6.25 billion, which will include $250 each for the first 25 million Trump account applicants under the age of 10 born before 2025 in ZIP codes with a median income of less than $150,000.
Dell’s pledge expands the reach of the Trump account, and “it’s not for newborns,” Fidelity’s Assaf said.
Philanthropists Ray and Barbara Dalio pledged to donate $250 to 300,000 children in Connecticut. Hedge fund manager Brad Gerstner announced a similar pledge in Indiana as part of the federal government’s 50-State Challenge to mobilize philanthropy across the country.
JPMorgan Chase, Charles Schwab, BlackRock, Visa, Intel, Bank of America and many other companies have pledged to donate to Trump accounts for the children of their employees.
