Now that the July 4th official launch window has passed, the U.S. Treasury has officially opened the Trump accounts for funding.
Don’t worry, if you still have not gotten an email from the U.S. Treasury to open your account, you should be receiving an email invitation shortly to open your child’s Trump account. Once the account is open, you can fund it in as little as 5 minutes.
Here is exactly what you need to know to get those initial investments rolling.
- Log in to TrumpAccounts.gov or by using the app using the same email address you used on the initial enrollment forms.
- Link your checking or savings account to the Trump Account. You can also fund your account using a debit card.
- Input your desired deposit amount. You can choose to make a one-time contribution or set up repeating monthly contributions.
a. Keep in mind that total individual contributions are strictly capped at $5,000 per child, per year.
b. Anyone can contribute – grandparents, relatives, and family friends can all contribute to your child’s account! However, each of these individual deposits count towards the $ 5,000 yearly limit. After your account is funded, you will be given a QR code that you can send to others that would like to contribute to the account.
Where does the money go? By law, all cash deposits are automatically swept into ultra-low-cost U.S. equity index funds (initially defaulting to SPYM, an S&P 500 ETF with fees capped under 0.1%). The funds lock in place to compound dynamically until your child turns 18.
You can visit our previous blog posts: Trump Accounts: An initial look into this vehicle for your child’s future and Trump Accounts: Next Steps in the Process for more information on the mechanics behind how these accounts work.
If you have further questions on how a Trump Account may fit into your overall financial plan, please do not hesitate to reach out to us today!