Buffalo, NY (WBEN) Trump Accounts have opened up for those born between 2025 and 2028. If you qualify, there are some things you have to worry about.
Esther Gulyas of EG Tax says if you got the notification,, you made the application either through your tax return or you sent in the form yourself. "If you had a child born in 2026 then you will have $1,000 deposited into the account, and the responsible person can then contribute up to $5,000 over each year into that account, and then when the child turns 18, they can withdraw for education, for housing, or to start a career," lsays Gulays. She adds the Dell Corporation also started something similar to the Trump account for all other children 10 and under, up to five, up to $250 can be deposited into account if they fill out that application as well.
UB's Scott Laing says like a 401k, your employer may be willing to match. "Many employers have already agreed to match what the parents are putting into the Trump account, companies like Dell, for instance, is offering $250 million pledges to add to these Trump accounts, and so as you add money into this account, due to just the appreciation, the time value of money, that money is just going to continue to grow and get bigger and bigger by the time your child turns 18, which will give them a great head start once they're finally an adult to use for textbooks, school, a new car, an apartment, whatever they want," says Laing, who encourages you to ask about employer participation..
What about scammers? Laing says it's possible. "I suppose that this might set a precedent for scammers to start to target, hey, give us your personal information in the hopes of another, too good to be true government program," says Laing. "I would compare it most similar to those stimulus checks we were getting during the pandemic, but definitely, that's a great point to be conscientious of robocalls or fishy emails trying to get financial information promising free money. I mean, this is one of those rare times where it actually is government-backed and actually is a real program."
The program began Saturday.
Some employers are willing to match
Some employers are willing to match
