Trump Account Calculator

Trump accounts are a new type of savings account for children, created by the 2025 tax law. Eligible babies born from 2025 through 2028 get a $1,000 deposit from the federal government, and families and employers can add more each year until the child turns 18. This calculator projects how much the account could grow.

What this calculator does

Enter the child's age, whether they're eligible for the $1,000 federal deposit, yearly family contributions, yearly employer contributions and an investment return. It shows:

• the projected balance at 18,
• the total contributions, including the federal deposit,
• the investment growth, and
• the yearly contributions counted after the annual limit.

The chart shows the balance year by year.

The formula in plain English

Starting balance = $1,000 if the child is eligible for the federal deposit, otherwise $0.

Yearly contribution = family contributions + employer contributions (employer capped at $2,500), up to the $5,000 annual limit.

Each year until the child turns 18, the contribution is added and the balance grows at your expected return.

Growth = balance at 18 − total contributions.

A worked example

The Patels' daughter was born in 2026, so she's eligible for the $1,000 federal deposit. They plan to contribute $1,000 a year until she's 18 and expect a 7% return from a U.S. stock index fund.

• Total contributions: $19,000.
• Projected balance at 18: about $39,800.
• Investment growth: about $20,800.

If her parents' employers also contributed $1,000 a year, the balance at 18 would be about $76,000. Left invested until her 60s, either amount could grow many times larger.

Why it matters at each career stage

If you're: Resident / fellow

If you have a baby during training, opening the account to claim the $1,000 deposit costs nothing. Even small contributions, or asking grandparents to give to the account, add up over 18 years.

If you're: Employed

Check whether your employer offers Trump account contributions as a benefit. Up to $2,500 a year can go in without counting as income to you.

If you're: Practice owner

Practice owners can consider offering Trump account contributions as a staff benefit. Employer contributions follow specific plan rules; talk with your benefits advisor.

How it fits with other accounts

529 plan. Usually the better choice for college savings because withdrawals for education are tax-free.

Custodial Roth IRA. If your child has earned income, a Roth IRA offers tax-free growth and tax-free withdrawals later.

Trump account. Best thought of as a long-term head start, especially with the free $1,000 deposit.

Your own retirement. Make sure your own retirement savings are on track before putting large amounts into children's accounts.

Rules to know

Investments are limited. Money must be invested in low-cost funds that track a U.S. stock index.

No early withdrawals. Generally, money can't be withdrawn before the year the child turns 18.

After 18, IRA-like rules apply. Earnings are taxed when withdrawn, and early withdrawals may face penalties unless an exception applies.

Rules are new. The IRS is still issuing guidance, and details may change.

Getting started

Accounts can be opened through the IRS election process or as directed by Treasury, and parents can elect the federal deposit for eligible children. Check irs.gov for the latest instructions and timing.

Next, project a 529 plan, estimate your child tax credit and see how compound interest grows savings over time.