US President Donald Trump on Tuesday (December 2) unveiled a new form for parents to sign up their children for Trump accounts, also known as 530A accounts or Invest America accounts. The accounts are part of a federal initiative to help America’s children build wealth from birth.
Contributions to the Trump accounts will be accepted beginning July 4, 2026. The accounts are designed to grow through investments and give children a financial head start.
How to open a Trump account
At a White House event, Trump released IRS Form 4547, which parents or guardians will use to:
-Open an initial Trump account for a child
-Make an election for a $1,000 Treasury Pilot Contribution, if eligible
After the election is submitted, beginning in May 2026, the Treasury Department will send activation instructions to complete the account setup through the verification process.
Dell’s $6.25 billion donation extends reach
The announcement came after reports that Michael Dell, the founder of Dell Technologies, and his wife, Susan, had pledged $6.25 billion to fund 25 million Trump accounts, expanding the program’s reach beyond what federal law mandates. This donation will provide additional financial support to eligible children under the program.
What are Trump accounts?
Trump Accounts are tax-deferred savings accounts for children under 18 designed to grow over time through investment returns. Once the child reaches adulthood, the accounts work much like a traditional IRA.
Eligibility: All US citizens born between January 1, 2025 and December 31, 2028 with a valid social security number.
Government Contribution: Each account receives a one-time seed contribution of $1,000 from the Treasury Department.
Annual Contributions: Families and others can contribute up to $5,000 per year.
Investment and growth
Trump Accounts are required by law to invest in broad US stock index funds such as the S&P 500.
If fully funded and left intact, Trump’s account could grow to $1.9 million by age 28, giving the children a strong foundation for financial independence.
Posts and access
Who can donate: Parents, guardians, grandparents, friends, employers and qualified charities or government organisations.
When they start contributing: July 4, 2026.
Withdrawal Rules: Funds cannot be withdrawn before age 18, except in limited circumstances such as rollover or death.
Read also | Meet Michael, Susan Dell – the philanthropists behind the $6.25 billion pledge for America’s children
Employer contributions
Employers can offer pre-tax contributions to a dependent child’s Trump account through the cafeteria plan up to $2,500 per employee per year.
Purpose of Trump Accounts
The Trump accounts are intended to provide children with a long-term savings and investment vehicle that allows families to contribute and grow funds in a safe, government-backed account. The initiative is part of President Trump’s broader plan to promote financial security and build wealth for future generations.
Read also | Explained – What are Trump Accounts? Eligibility, Contributions, Estimated Returns
