What Is a Trump Account?
A Trump Account is a federally created, custodial-style tax-advantaged savings account for children under age 18.
Key features include:
– Custodial IRA-like structure
– One-time $1,000 pilot program contribution for eligible newborns
– Up to $5,000 in annual contributions
– Investments limited to low-cost index funds
– No withdrawals until age 18
How to Sign Up for a Trump Account
1. File IRS Form 4547 Online (Now Live)
You can submit IRS Form 4547 electronically through TrumpAccounts.gov.
2. File IRS Form 4547 With Your 2025 Tax Return
You may file Form 4547 with your 2025 tax return to elect to receive the $1,000 pilot program contribution if your child qualifies.
After either submission method, you’ll be contacted by the partner financial firm where your Trump Account will be held, with further instructions on how to complete account setup.
Link to H&P Trump Accounts Comparison Chart
Summary & Next Steps
Trump Accounts offer families a powerful way to begin building long-term savings for children. Consult your financial advisor to evaluate whether a Trump Account aligns with your goals.
Comparison of Trump Accounts to Other Savings Accounts
Feature | Trump Account | Custodial Traditional IRA | Custodial Roth IRA | Custodial UTMA/UGMA | 529 Plan |
|---|---|---|---|---|---|
Owner | Child (custodial <18) | Child (custodial <18) | Child (custodial <18) | Child (to age of majority) | Anyone (beneficiary designated) |
Age eligibility | <18 w/ SSN | Any age w/ earned income | Any age w/ earned income | < state age of majority (18–25) | No age limit |
Government contribution | $1,000 if born 2025–2028 (pilot) | None | None | None | None |
Annual contribution limit | $5,000 total | IRA limit ($7,500, 2026) | Roth limit ($7,500, 2026) | None | State dependent |
Earned income required | No | Yes | Yes | No | No |
Contribution tax treatment | Individual: post-tax; Employer/Nonprofit/Govt: pre-tax | Pre-tax | Post-tax | Post-tax | Post-tax |
Investment options | Low-cost U.S. index funds/ETFs | Broad flexibility | Broad flexibility | Broad flexibility | Plan dependent |
Withdrawal tax treatment | Indiv. contributions: no tax; earnings taxable. Employer/Nonprofit/Govt contributions + earnings taxable | Income tax on all withdrawals | No income tax on qualified withdrawals | Earnings taxable (LT cap gains rates may apply) | No income tax on qualified withdrawals |
Early withdrawal rules | Before 59½ penalties; limited exceptions between 18–59½ | Before 59½ penalties; some exceptions | Before 59½ penalties; some exceptions | None | Must be for qualified education (no age restriction) |
Penalty-exempt expenses | First-home, medical/disability, education, disaster, etc. | First-home, medical/disability, education, disaster, etc. | First-home, medical/disability, education, disaster; plus withdrawal of contributions if acct ≥5 yrs | No limitations | Qualified education expenses |
Note: This comparison reflects current guidance as of February 12, 2026.