What Parents Should Know About the “Trump Account”

We wanted to share an update on a new federal investment program that may provide a meaningful financial head start for your child.

The program is called the Trump Account, and it is a government-sponsored custodial investment account designed to encourage long-term wealth building through low-cost exposure to the U.S. stock market. While the program is still new, the structure is simple and the potential long-term impact could be significant for families with young children.

How the Trump Account Works

The account functions as a long-term investment vehicle for minors. Funds are automatically invested in low-cost, broad U.S. stock market index funds and are intended to grow over time — not for short-term use.

Here are the key details:

• Children born between January 1, 2025 and December 31, 2028 may receive a one-time $1,000 federal seed contribution.
• Any U.S. citizen under age 18 can open an account, even if they do not qualify for the $1,000 seed contribution.
• The funds are invested in low-cost U.S. index funds designed for long-term growth.
• Parents, grandparents, and other family members can contribute (subject to annual contribution limits).
• The account is intended to be long-term — funds are generally locked until the child turns 18.

Important to Know

Because this is a government-run program, the accounts are not managed like traditional investment accounts. The investments are controlled by the Treasury and remain in the designated index funds.

That means while we’re happy to help you understand whether this fits into your family’s financial plan, we cannot directly manage or make investment changes inside a Trump Account.

Why This Matters for Families

Even a modest amount invested early can grow significantly over time. When combined with the federal $1,000 seed contribution (if eligible), this account could become a meaningful starting point for a child’s future — whether that’s college, a first home, or simply long-term financial stability.

How to Set One Up

The online election form is now live, and parents or guardians can open the account directly through the IRS portal.

You can access the form here: form.trumpaccounts.gov

If you’re wondering whether this makes sense for your child or how it fits alongside 529 plans or other savings strategies, we’re happy to talk through it with you.