Frequently Asked Questions, Answered.
What are these accounts?
They are long-term investment accounts the government starts for every child at birth. Each account, known as a Trump Account, begins with a public contribution and can grow over time with added family savings and market growth. The money is managed for you and can’t be taken out early, so it stays invested as the child grows up. By the time they turn 18, it gives young people a real financial head start as they make big life decisions.
Who is eligible?
All American children under age 18 are eligible get an account. Parents or guardians can set up an account at any time to start saving and investing on their child’s behalf. Families can contribute up to $5,000 per year, with the money invested in low-cost, diversified stock market funds that grow tax-free until the child reaches adulthood.
Who can contribute?
Anyone can contribute to an account. Parents, family, and friends can add up to $5,000 per year to a child’s account. Employers can contribute up to $2,500 per year, and that amount counts toward the $5,000 annual limit.
Donors and philanthropic organizations, as well as state and local governments, can also contribute to these accounts. Their contributions are meant to add extra support, especially for children whose families may not be able to save as much, helping the account grow over time.
When can the money be used?
Funds in an Invest America Account are locked until the child turns 18. This protects the savings and gives it time to grow.
Once the account holder becomes an adult, they can use the money for major life milestones, including:
- Education: tuition, fees, and other costs for college or job training
- Homeownership: a down payment on a first home
- Entrepreneurship: seed money to start a business
Any money not used stays in the account and continues to be invested and grow over time, providing both an early boost at age 18 and long-term financial security later in life.