$1,000 of free money, but only if you actively claim it within the deadline. The federal government will deposit $1,000 directly into a child's Trump Account, but parents must file IRS Form 4547 to trigger the transfer. It does not happen automatically.
The eligibility window is tight: the child must be born between January 1, 2025 and December 31, 2028. Children born before or after this four-year window can still have Trump Accounts, but they get zero seed money.
How to actually claim it
Two paths exist as of July 2026:
- Paper filing: Complete IRS Form 4547, attach a copy of the birth certificate, mail to the IRS service center for your state.
- Electronic filing (new July 2026): Log into your IRS Individual Online Account → Tax Services → Section 530A Trump Account Election → upload digital birth certificate → submit.
The electronic route processes in 4-6 weeks. Paper takes 8-12 weeks. Either way, the $1,000 is deposited directly into the approved financial institution holding the child's Trump Account.
The tax treatment people miss
The seed money does NOT create basis. When the child eventually withdraws it in retirement, the full $1,000 plus all growth it generated is taxed as ordinary income. Think of it as a tax-deferred gift, not a tax-free one.
What $1,000 becomes over time
At 10% average annual return (S&P 500 historical average): $1,000 at birth grows to roughly $6,000 by age 18, $50,000 by age 55, and $117,000 by age 65. That is a 117x return on a form you filled out once.
