Overview
- The Trump Accounts pilot is live and accepting enrollments with the Treasury reporting more than six million accounts created and seed deposits under way.
- Each eligible child born in the 2025–2028 window can receive a one‑time $1,000 federal deposit that is invested by default in low‑cost U.S. equity index ETFs and the account converts to a traditional IRA at age 18.
- Rules limit fees and cap outside contributions at $5,000 per child per year, allow trustee rollovers to private brokers, and let parents or other authorized adults open accounts via IRS Form 4547, TrumpAccounts.gov or the app.
- Many financial advisers say families should claim the free $1,000 and then use 529 plans, Roth IRAs or brokerage accounts for additional goals, while some parents and politicians remain distrustful of the program.
- The Joint Committee on Taxation estimates about $15 billion in federal cost through 2034, private philanthropies and companies are adding top‑ups in some places, and analysts warn the defaults could concentrate long‑duration assets with major custodians and index providers and affect need‑based aid calculations.