Trump Accounts program sees 6.5 million US families sign up

The Trump Accounts savings program, launched on July 4, allows U.S. children under 18 to receive a $1,000 government seed contribution (for births between Jan 1 2025 and Dec 31 2028) and to accrue tax‑free growth. Families may contribute up to $5,000 annually, with an additional $2,500 possible from employers through a Section 125 cafeteria plan.

More than 6.5 million families have opened accounts, but only about 55 employers—such as Bank of America, Chipotle, Dell and Uber—have announced they will make contributions. Under the One Big Beautiful Bill Act, employer contributions are tax‑free and, per Department of Labor guidance, are not subject to ERISA fiduciary rules. Companies are waiting for further Treasury Department guidance on operational details, nondiscrimination rules, and payroll handling before expanding participation. Analysts say the program’s impact on employee benefits will hinge on future regulations and its potential extension beyond the pilot phase.