01/16/2026
Hello amazing clients - if you had a baby after 12/31/24 they are entitled to $ 1,000 into a new savings vehicle called A Trump Account. Read for more information. Be sure to mention this when you have your taxes completed if you qualify.
The One Big Beautiful Bill Act (OBBBA) introduces a new retirement savings vehicle that tax practitioners should add to their 2025 filing season checklist - the Trump account. Here's what you need to advise clients about this new savings opportunity.
What Are Trump Accounts? (IR-2025-117)
Trump accounts are a new type of individual retirement account established for the exclusive benefit of eligible children. Parents, legal guardians, and other authorized individuals can open these accounts on behalf of qualifying children and potentially secure a $1,000 pilot program contribution from the government.
Eligibility Requirements for Trump Accounts
Trump accounts are available for any child who meets the following criteria:
Age requirement: Child has not turned age 18 before the end of the calendar year in which the account is established
Social Security number: Child must have a valid Social Security number
Important: Children born before January 1, 2025, who are under age 18 are fully eligible for Trump accounts with all features except the $1,000 government pilot program contribution.
The $1,000 Pilot Program Contribution
Separate from general Trump account eligibility, the federal government will make a one-time $1,000 contribution for children meeting these additional criteria:
Birth date window: Born between January 1, 2025, and December 31, 2028
U.S. citizenship: Child must be a U.S. citizen
Valid Social Security number: Required for government contribution
This election for the pilot program contribution is made separately on Form 4547. This election is separate from establishing the account itself, though both can be made simultaneously on Form 4547.
Filing Mechanics for Tax Season
Form 4547 is the vehicle for making both elections:
Establishing the Trump account
Claiming the $1,000 pilot program contribution
