Bank of America, JPMorgan Fund $1,000 to Employee Trump Accounts

Major corporations are responding to President Trump’s initiative for the “Trump Accounts,” a savings plan aimed at enhancing financial security for American families. Bank of America and JPMorgan Chase are each pledging a matching contribution of $1,000 for employees who open these accounts, which are designed for children born during Trump’s upcoming term.

Overview of the Trump Accounts

The Trump Accounts will launch in 2025 and cater to children born in the U.S. between January 1, 2025, and December 31, 2028. Each account will be seeded with an initial $1,000 from the federal government, intended to be invested in the stock market.

Corporate Contributions

• Both Bank of America and JPMorgan Chase will match the government’s $1,000 contribution.
• Bank of America will enable pre-tax contributions from employees for their children’s accounts.
• Corporate support extends to other organizations, like Intel, which plans to contribute to its employees’ children’s Trump Accounts.
• Visa will allow consumers to contribute via credit card reward points.
• Turning Point USA also announced a dollar-for-dollar match for eligible newborns’ accounts.

Notable Contributions

Prominent figures and organizations have committed to supporting Trump’s initiative. Michael Dell and his wife will offer $250 for each of the 25 million eligible children, translating to a $6.25 billion investment. Additionally, Charles Schwab and other firms have already pledged similar contributions.

Implementation Timeline and Contribution Limits

Families can begin contributing to Trump Accounts starting July 4. Beyond the initial government contribution, families may deposit an additional $5,000 per child each year. Employers can contribute up to $2,500 annually, which is tax-free and included within the overall limit.

However, funds cannot typically be withdrawn until the child reaches 18 years of age. U.S. Treasury Secretary Scott Bessent emphasized the investment aspect, highlighting that the initial government contribution will be assigned to an index fund.

Advice for Families

Employers are encouraged to participate actively in this initiative. Through these collaborative efforts, the Trump Accounts aim to foster long-term financial planning and support among American families.