Dear Valued Client,
We would like to make you aware of an important new savings opportunity available for families: Trump Accounts, a new tax-favored investment account designed to encourage long-term savings and financial literacy for children.
Under current law, Trump Accounts may be established for children under age 18 and offer tax-deferred growth opportunities similar to traditional IRAs, with certain special rules. For children born between 2025 and 2028, the federal government is expected to provide a one-time $1,000 contribution to eligible accounts. Trump Accounts will automatically transition into traditional IRAs beginning January 1 of the year the account holder turns 18.
Families can establish a Trump Account by submitting Form 4547, and the IRS now allows taxpayers to track the status of their account election through their online IRS account.
Important Timeline
- Now Available: The Treasury Department has released the official Trump Account mobile app for both Apple and Android devices.
- July 4, 2026: Contributions to Trump Accounts could begin. The federal government’s initial $1,000 contributions for eligible children also started on this date.
The new app allows families to activate and manage accounts, monitor investment performance, and access educational resources designed to improve financial literacy.
Our team is available to assist with the preparation of Form 4547 or assistance with using IRS.gov to submit an electronic election to create an account.
Families who have already submitted Form 4547 should have received account activation instructions via email from the Treasury Department.
If you have questions or would like assistance, please contact our office.
Sincerely,
PBG Advisors | CPAs