Trump Account Calculator
What a Trump account, the new tax-advantaged investment account for children, could grow to by 18: the $1,000 government deposit for children born 2025 to 2028, plus up to $5,000 a year from family and more from employers.
Balance at 18 for a child born in 2026 (with the $1,000 deposit), by yearly contributions and return
| A year | 5% return | 7% return | 9% return |
|---|---|---|---|
| $0 | $2,407 | $3,380 | $4,717 |
| $1,000 | $30,539 | $37,379 | $46,018 |
| $2,500 | $72,738 | $88,378 | $107,970 |
| $5,000 | $143,069 | $173,375 | $211,224 |
How this calculator works
Created by the 2025 tax law (26 U.S.C. 530A): an IRA for a child under 18, invested only in US stock index funds with fees of 0.1% or less. Contributions start July 4, 2026, up to $5,000 a year from family (indexed after 2027); employer contributions and the government deposit don't count toward it.
The $1,000 deposit (26 U.S.C. 6434) is for US-citizen children born from 2025 to 2028; a parent elects it. The calculator grows the balance at your return each year to 18, and to 30 if left alone.
What it assumes
- No withdrawals are allowed before the year the child turns 18; from then it follows traditional IRA rules.
- Family contributions aren't tax-deductible; growth is taxed when withdrawn.
- Returns are a steady average; stock returns vary a lot.
Questions people ask
What is a Trump account?
A tax-deferred investment account for children under 18, created in 2025, invested in low-cost US stock index funds and locked until the child turns 18.
Who gets the $1,000?
US-citizen children born from January 1, 2025 to December 31, 2028, with a Social Security number, when a parent makes the election.
How much can I put in a Trump account?
Up to $5,000 a year from parents, relatives and others combined, rising with inflation after 2027. Employers can contribute too, and some charitable contributions don't count toward the limit.
Trump account or 529 plan?
529 withdrawals for education are tax-free; Trump account growth is taxed when withdrawn, but money can be used for anything after 18 under IRA rules. Many families use a 529 for school and a Trump account as a long-term start.
How much could it grow to?
With the $1,000 deposit and $2,500 a year at 7%, about $88,378 by 18.
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Sources
Updated by the RateHerald team. The maths is tested against worked examples; report a problem.