Trump Account Calculator

What is a Trump Account?

A Trump Account is a new type of individual retirement account (IRA) created for children under Internal Revenue Code §530A by the One Big Beautiful Bill Act (Public Law 119-21, enacted July 4, 2025). The child is the account owner; a parent or guardian manages the account while the child is a minor. Unlike a regular IRA, a child does not need earned income for contributions to be made during childhood — saving can start at birth. The account has two phases: a growth period with special rules, and then, from January 1 of the year the child turns 18, treatment generally as a traditional IRA.

Who qualifies for the $1,000 pilot deposit?

The federal government makes a one-time $1,000 pilot program contribution for each eligible child. All three conditions must be met: the child was born January 1, 2025 through December 31, 2028; the child is a U.S. citizen at birth; and the child has a Social Security number. The $1,000 is not automatic — a parent or guardian must elect it on IRS Form 4547 (Trump Account Election), even if Treasury has already opened the account. Children born outside the window can still have a Trump Account; they simply do not receive the pilot deposit. The pilot deposit does not count toward the $5,000 annual contribution limit.

How contributions work

During the growth period, contributions from family, friends, the child and employers are limited to a combined $5,000 per child per year, with cost-of-living adjustments after 2027. Employer contributions under IRC §128 count toward that $5,000 and have their own sub-cap of $2,500 per year per employee — that limit applies across all of an employee's children, not per child, and contributions are made under a qualifying written employer plan (the detailed plan rules were issued as proposed regulations in August 2026, so employers should check the current guidance). Contributions from individuals are not tax-deductible, and no earned income is required during the growth period. The $1,000 pilot, qualified general contributions from governments and charities, and qualified rollovers do not count toward the $5,000 limit.

What the money can be invested in

During the growth period, investments are restricted to diversified, low-cost index funds: mutual funds or ETFs that track an index of primarily U.S. companies, do not use leverage, and charge fees of no more than 0.1% per year. At launch, contributions go into a default S&P 500 index ETF (SPYM), with a small number of other approved index funds expected to become electable later.

Before age 18: the money is essentially locked

Withdrawals are generally not allowed during the growth period. The only exceptions are narrow ones: a trustee-to-trustee rollover of the entire balance to another Trump Account, an ABLE account rollover at age 17, a return of excess contributions, or a distribution after the child's death. There is no hardship, education or medical withdrawal before 18.

What happens at 18

The growth period ends December 31 of the year the child turns 17. From January 1 of the year they turn 18, the special rules fall away and the account is generally treated as a traditional IRA, and withdrawals follow traditional IRA rules. The tax split matters: only the individual's own after-tax contributions are basis and come back tax-free. The $1,000 pilot, employer contributions and charitable general contributions create no basis — those amounts, plus all earnings, are taxed as ordinary income when withdrawn. A 10% additional tax under §72(t) generally applies to withdrawals before age 59½ unless an IRA exception applies, such as higher education expenses or a first home (up to $10,000 lifetime). Any later contributions follow normal traditional IRA rules and limits.

When accounts open — the program is live

Trump Accounts launched on July 4, 2026 — the first date contributions could be made — through the official portal at trumpaccounts.gov and the official Trump Accounts app. Initial accounts are held with Robinhood Securities as initial trustee, with BNY as Treasury's financial agent. On October 1, 2026, Treasury completed automatic enrollment: accounts were established for over 60 million eligible children under 18 with a Social Security number. An auto-enrolled account still has to be claimed by a parent or guardian in the official app before anyone can manage it or contribute — and the $1,000 pilot still needs its own Form 4547 election. This calculator works whether your child starts at birth or later: enter their date of birth and it projects only the years that remain.

How this calculator works

The projection uses simple annual steps. The $1,000 pilot deposit (if eligible) is the opening balance. Each year, deposits are made at the start of the year, then growth applies: balance = (balance + deposit) × (1 + return). Deposits are family plus employer contributions, held to the combined $5,000 limit with the $2,500 employer sub-cap, and they stop at age 18. Choosing age 30 or 65 simply lets the age-18 balance keep compounding with no new deposits. The 529 comparison uses the same yearly amount and return to age 18; 529 plans have no federal annual cap and employer contributions do not apply to them, so treat that comparison as a growth illustration, not a full comparison of the two programs' rules or tax treatment. For the complete rule-by-rule breakdown — taxes, penalties, leftover money and the 529-to-Roth rollover — see Trump Account vs 529 Plan: Key Differences.

Frequently asked questions

Guides & explainers

• Trump Account vs 529 Plan: Key Differences — taxes, limits, penalties and leftover-money rules, side by side.
• How to Claim a Trump Account for Your Child — claim the account, then elect the $1,000 on Form 4547.
• What Happens to a Trump Account at Age 18? — the growth period ends and the account becomes a traditional IRA.
• Trump Account Employer Contribution Rules — the $2,500 per-employee §128 cap and the written-plan requirement.
• Trump Account Withdrawal Rules & Taxes After 18 — the pre-18 lock, the tax split, and the §72(t) exceptions.

Projections are estimates based on the return you choose; they are not a guarantee and this site is not financial advice. Program rules follow IRS and Treasury guidance and may change.