Trump Account Calculator

How Trump Accounts work

Any child with a Social Security number can have one, as long as they do not turn 18 before the end of the year the account is set up. Treasury automatically opened accounts for eligible children on October 1, 2026, but a parent or guardian has to claim the account in the Trump Accounts app or website before family or an employer can add money.

Contributions have been allowed since July 4, 2026. Family, friends and employers together can add up to $5,000 a year per child in 2026 and 2027, and the limit rises with inflation after 2027. An employer can give up to $2,500 a year per employee without it counting as the employee's income, and that money counts toward the $5,000. The $1,000 federal deposit and contributions from states, other governments and charities do not count toward the limit.

Until the year the child turns 18, the money can only be invested in mutual funds or ETFs that track a broad index of mostly U.S. stocks, such as the S&P 500, with no leverage and yearly fees of no more than 0.1%, and it generally cannot be withdrawn.

The $1,000 pilot contribution

Treasury pays a one-time $1,000 into the account of each child who is a U.S. citizen, was born from January 1, 2025, through December 31, 2028, and has a Social Security number. It is not automatic: a parent or guardian has to elect it on Form 4547, in the Trump Accounts app or website, or through an IRS online account, even if Treasury already opened the account. The deposit comes after the account is open.

Example: a child born in 2026 who gets the $1,000 plus $1,000 a year from family, growing 5% a year after inflation, would have about $30,539 in today's dollars on January 1, 2044, the year they turn 18. Left invested with no new deposits, that grows to about $302,518 by 65.

Taxes, and how it compares with a 529

Contributions are not tax-deductible. Money your family puts in is after-tax, so it becomes basis and is not taxed again. The $1,000, employer money and all the growth have no basis and are taxed as ordinary income when withdrawn. In the example, $18,000 is family basis and the other $12,539 would be taxable.

From the year the child turns 18 the account follows traditional IRA rules, including a 10% additional tax on withdrawals before 59½ unless an exception applies, such as qualified higher education expenses or up to $10,000 for a first home. A 529 plan is not deductible either, but its earnings are free of federal tax when spent on qualified education costs, so for college money a 529 keeps more of the growth.

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