President Trump signs TrumpIRA order expanding access to retirement savings
President Trump signed an executive order creating TrumpIRA.gov, which can be used by workers whose employers do not offer a 401(k) plan to enroll in a retirement plan.
President Donald Trump signed an executive order on April 30 that expands access to retirement savings for workers whose employers do not offer a 401(k)-type plan.
The order created a new website, TrumpIRA.gov, that workers can use to enroll in private sector retirement plans. As an added attraction, retirement savers may be eligible for matching contributions of up to $1,000 per year from the government.
“Starting early next year, all Americans will be able to access TrumpIRA.gov and open a new low-cost IRA account,” President Trump said during a signing ceremony at the White House on the afternoon of April 30.
“Then they will have access to the same types of retirement accounts that federal employees enjoy,” he said.
Here are the details:
How does the TrumpIRA program work?
Under President Trump’s order, workers will be able to use the TrumpIRA.gov site to “filter and select IRAs based on cost and quality,” allowing them to choose an IRA from a list of private plan administrators that offer low administration costs and impose no minimum contribution or balance requirements. Anyone who does not have a retirement savings plan at work can sign up.
White House officials say the new accounts will be similar to the Thrift Savings Plan already offered to federal employees.
Who is eligible to receive $1,000 in matching contributions?
President Trump’s order coincides with the launch of the Biden administration’s 2022 “Saver’s Match,” which promises to match low-income workers’ retirement benefits by up to $1,000 a year.
Starting in January 2027, Saver’s Match will make approximately 22 million low-income employees who contribute to retirement savings accounts eligible for matching funds from the government. The maximum amount is $1,000 per person, according to a Pew analysis.
To qualify for the Saver’s Match, a single tax filer must have an income of less than $35,500. The limit for joint filers is $71,000. The maximum match is 50% of the employee’s contribution.
Saver’s Match replaces the current Saver’s Credit, a non-refundable tax credit for low-income taxpayers. The big difference: Saver’s Credit only reduces the taxes you owe. Saver’s Match puts dollars into your retirement account.
When to register for TrumpIRA?
As curious retirement savers are already aware, the TrumpIRA.gov site is not yet live. The executive order calls for the site to be up and running by January 1, 2027, at which point the program will officially begin.
How does the TrumpIRA program help retirement savers?
The TrumpIRA plan is designed to increase the percentage of American workers who save for retirement.
Roughly two-fifths of full-time workers and four-fifths of part-time workers don’t have access to retirement savings through their employer, according to the Economic Innovation Group.
For the past half-century, the federal government has used tax cuts to persuade Americans to build savings to cover their retirement and supplement Social Security.
This effort has been only partially successful. Currently, about half of all private sector workers participate in a 401(k) plan.
President Trump telegraphed his plans to increase retirement savings in his 2026 State of the Union address.
“We have millions of people whose 401(k)s are up significantly because the stock market is doing so well and setting all these records,” he said. “However, half of working Americans still do not have access to a retirement plan with matching contributions from their employer.
“To correct this egregious disparity, I am announcing that next year, my administration will give America’s oft-forgotten workers, our great people, the people who built our country, access to the same kind of retirement benefits that are available to all federal employees.”
The initiative drew praise from AARP, an American advocacy group for senior citizens.
“Americans are 15 times more likely to save for retirement if they have access to a workplace savings plan, but about half of private sector workers currently do not have access to one,” said Bill Sweeney, AARP’s senior vice president for government affairs. “The bipartisan efforts of Congress and current administration leaders through today’s executive order and implementation of the Saver’s Match program will result in real progress in expanding access to retirement accounts.”
What happens if I earn more than $35,500?
President Trump said he would ask Congress to expand the Saver’s Match to people making more than $35,500 a year, the executive order’s cap. Expanding the program could allow for matching contributions to higher-income workers.
“We think there are many people who earn more than that but don’t have any retirement assets,” said Kevin Hassett, the White House’s chief economic adviser.
How to register for TrumpIRA
Under the current plan, no one is automatically enrolled in an IRA. However, the Trump administration is reportedly considering expanding the program to automatically enroll workers who are not eligible for workplace retirement plans.
More states are introducing “automatic savings” programs, expanding access to tax-advantaged retirement plans by encouraging companies to offer them and automatically enrolling employees. Starting in 2025, most new 401(k) plans were required to automatically enroll workers, rather than leaving the decision up to them.
AARP says 20 states already have “automatic IRA” programs in place as a safety net for workers who don’t have access to retirement savings. The state program provides retirement savings to these workers through automatic enrollment. Workers can choose to opt out.
A new Morningstar report estimates that 32 million more workers would enroll in retirement savings plans if the federal government adopted an automatic IRA program.
Retirement savings is a rare bipartisan area of federal policy, as the Trump administration has piggybacked on Biden-era initiatives.
How much does all this cost?
New initiatives cost a lot of money. The libertarian Cato Institute, citing data from the Joint Committee on Federal Taxes, projects that funding Saver’s Match would reduce federal revenue by $9.3 billion between 2028 and 2032. The cost of automatic enrollment could exceed $20 billion.
“Policymakers are piling on new spending commitments with uncertain benefits to low-income households, on top of a system that already faces a $28 trillion shortfall,” said Romina Boccia, director of budget and entitlement policy at Cato.
Contributors: Swapna Venugopal Ramaswamy and Francesca Chambers
