Trump Accounts are federally established investment accounts designed to help families save for children and grandchildren over time. Recent IRS guidance has provided additional clarity regarding the gift tax treatment of contributions, but several planning considerations remain for families evaluating whether a Trump Account may be appropriate for their situation. 

This guide examines key aspects of Trump Accounts, including contribution limits, account ownership requirements, gift tax considerations, and questions families may wish to discuss with their financial, tax, and legal professionals before opening or funding an account. 

This guide can help you:

• Understand the basic structure and eligibility requirements of Trump Accounts. 
• Learn how recent IRS guidance addresses certain gift tax questions related to contributions.
• Explore how a Trump Account may complement other education and savings strategies, including 529 plans. 
• Identify considerations for families making larger gifts as part of broader estate planning objectives. 
• Review proposed rules regarding who may be authorized to open an account on behalf of a child. 
• Prepare questions to discuss with your advisor before making decisions about opening or funding an account. 

Because tax rules, regulations, and personal circumstances vary, it’s important to evaluate a Trump Account within the context of your broader financial and estate planning strategy. This resource reviews current IRS interpretations, highlights areas that may warrant additional review, and provides a framework for informed discussions with your advisors.

We typically work with clients who have $750,000 or more in investable assets, but we also consider working with those expecting future financial growth through career success, inheritance, or other significant milestones.