Trump Accounts app is now available. Here’s what to know.

The Trump Accounts app is now available for Americans to download, marking the launch of a new federal program aimed at helping children save money for their future. The app, which was introduced on Thursday, allows parents or guardians to manage tax-preferred investment accounts on behalf of their kids. Starting July 4th, the U.S. government will make a $1,000 contribution to eligible children with accounts, with the funds to be invested in the stock market. Account holders can also begin making personal contributions on that day.

Treasury Secretary Scott Bessent expressed, “The Trump Accounts app provides a simple and secure way for families to start participating in a program that is designed to create long-term financial stability right from the beginning.”

To access the app, parents who have signed up for an account for their children will receive emails containing instructions on how to set up the Trump Accounts app. The app can be downloaded from the Apple App Store, Google Play, or TrumpAccounts.gov. The activation of accounts will be done in phases leading up to July 4th, and emails will be sent from the address no-reply@TrumpAccounts.Treasury.gov. The Treasury Department has cautioned that they will not contact individuals via text message or phone call regarding Trump Account activation, and any such communication should be considered a scam.

Children born between January 1, 2025, and December 31, 2028, are eligible for the $1,000 federal gift. Families with children under 18 can also open a Trump Account but are not entitled to the government’s contribution. A valid Social Security number is required for children to qualify for a Trump account. Parents or guardians must set up and manage the accounts until the child reaches 18 years of age. At that point, the child can access the funds to cover qualified expenses like education, homeownership, or starting a business.

Contributions to the accounts can be made by parents, employers, charitable organizations, and other parties. The accounts have been promoted by Bessent as a “rainy day fund” that kids can utilize when they reach adulthood. Apart from the government’s contribution, annual contributions are limited to $5,000 per child, with some exceptions.

Millions of Americans have already enrolled in Trump Accounts, with the process involving logging into an individual’s IRS account and completing Form 4547, a specific tax form for opening a Trump Account. The accounts are free to set up.

Funds from a Trump Account cannot be withdrawn before a child turns 18, except in cases of rollover to another brokerage account, certain rollovers to an “Achieving a Better Life Experience” account, or in the event of the individual’s death. After turning 18, standard IRA withdrawal rules apply.

In conclusion, the Trump Accounts app presents a unique opportunity for families to save and invest for their children’s future. By leveraging this federal program, parents can take proactive steps towards building long-term financial security for their kids.