Trump Account Money & Funding Questions

The federal government deposits $1,000 into Trump Accounts for children born between January 1, 2025 and December 31, 2028. This is a one-time deposit through the pilot program. You must file IRS Form 4547 to claim it.

It comes from the U.S. Treasury as part of the pilot program established by the One Big Beautiful Bill Act (OBBBA). It is funded by taxpayer dollars — not a loan, grant, or private donation.

Up to $5,000 per year total (after-tax). This limit is indexed for inflation starting in 2027. The $5,000 cap includes all contributions — from parents, grandparents, friends, and employers.

Yes. Under IRC §128, employers can contribute up to $2,500 per year per employee. These contributions are tax-free to the employee (excluded from gross income). The $2,500 counts toward the $5,000 annual cap.

Per employee. If you have 3 children with Trump Accounts, your employer can still only contribute $2,500 total — not $2,500 per child.

Yes. Anyone can contribute to a Trump Account — parents, grandparents, aunts, uncles, friends. All contributions from all sources count toward the single $5,000 annual limit.

Michael and Susan Dell pledged $6.25 billion to provide an additional $250 per child under 10 in ZIP codes where the median household income is below $150,000. This is separate from and in addition to the $1,000 federal deposit.

No. The $5,000 annual limit is a hard cap. Excess contributions must be removed and may be subject to a 6% excise tax if not corrected by the tax filing deadline.

No. Contributions are made with after-tax dollars. You do not get a tax deduction for contributing to a Trump Account. However, employer contributions under §128 are excluded from the employee's gross income.

That's perfectly fine. There is no minimum contribution. Even $50/month ($600/year) invested in an S&P 500 index fund could grow to roughly $18,000–$22,000 by age 18 (assuming ~8% average annual returns). Use our Growth Calculator to model your own scenario.

Yes. Starting in 2027, the $5,000 annual contribution limit is indexed for inflation. The IRS will announce adjusted limits each year.

Either way. You can contribute a lump sum, monthly, quarterly, or any schedule you prefer — as long as total contributions for the calendar year do not exceed $5,000.