What you need to open a Trump account
A Trump account is a tax-advantaged savings account for a child's education, opened in the child's name with a parent or guardian as the account owner. To open one, you need the child's Social Security number, your own identification and tax ID, and proof of your relationship to the child (usually a birth certificate). Most financial institutions that offer Trump accounts also require a minimum deposit, which ranges from $0 to $500 depending on the provider.
You do not need to be the child's biological parent — grandparents, aunts, uncles, and other relatives can open Trump accounts for children in their lives. The account owner controls the money until the child reaches the age of majority (usually 18 or 21, depending on your state), and you decide how much to contribute each year.
The process takes 15 to 30 minutes online or in person at a bank or brokerage. Some providers let you start immediately; others mail account materials and take a few days to activate the account.
Key Takeaways
- You will need the child's Social Security number, your ID, and proof of relationship (typically a birth certificate) to open an account.
- Account owners can be parents, grandparents, or other relatives, and you control the account until the child reaches the age of majority.
- Minimum deposits vary by provider from $0 to $500, and you can open an account online, by phone, or in person at a bank or brokerage.
- Contributions grow tax-free as long as the money is used for education expenses like tuition, books, room and board, and computers.
Where to open a Trump account
Trump accounts are offered through banks, credit unions, and investment brokerages. Major providers include Fidelity, Vanguard, Charles Schwab, and most large national banks. Your own bank may offer them, so check your current institution first — you may already have a relationship that speeds up the process.
Each provider has different minimum deposits, investment options, and fee structures. Some charge annual maintenance fees ($25 to $50); others waive fees if you set up automatic contributions or maintain a minimum balance. Compare a few providers before you choose, because switching accounts later is possible but involves paperwork and may trigger tax consequences if you move money between different states' programs.
If you are unsure where to start, your state's Trump account program website lists all authorized providers in your state. Some states run their own direct-sold programs with lower fees; others only allow accounts through private financial institutions.
Steps to open an account online
Most banks and brokerages let you open a Trump account entirely online. Start by going to the provider's website and finding their Trump account section. You will enter the child's name, date of birth, and Social Security number; your own name, address, and tax ID; and your relationship to the child.
The provider will ask you to verify your identity — usually by answering security questions or uploading a photo of your driver's license. You will then choose your investment option (usually a portfolio of stocks and bonds, or a static fund that shifts to safer investments as the child gets older). Finally, you will link a bank account for your initial deposit and any future contributions.
After you submit, the provider reviews your application (usually within one to three business days) and sends you a confirmation email with your account number. You can begin making contributions immediately in most cases, though some providers wait for your first deposit to clear before the account is fully active.
Opening an account in person at a bank or brokerage
If you prefer to open an account face-to-face, visit a branch of your bank or a local brokerage office. Bring the child's birth certificate and Social Security card (or a document showing the child's Social Security number), your driver's license or passport, and your Social Security number or tax ID.
A representative will walk you through the same information you would enter online: the child's details, your relationship, and your investment choices. They will also help you decide on a contribution strategy and explain the account's tax benefits. The process takes 20 to 45 minutes, and you can usually make your first deposit on the spot by check or debit card.
In-person accounts sometimes take longer to activate than online accounts because the bank must mail you physical statements or account materials. Ask the representative how long it will take before you can start investing and whether you can make contributions before the account is fully set up.
What to do after you open the account
Once your account is open, you can contribute money whenever you want. There is no annual deadline, but contributions are limited by federal law: the total amount you can give to one child per year without triggering gift tax is $18,000 per person (or $36,000 if you are married and your spouse joins the gift). These limits change yearly, so check the IRS website if you plan to contribute large amounts.
Set up automatic monthly or quarterly contributions if your provider offers them — this removes the need to remember to transfer money and often qualifies you for fee waivers. Review your investment choices once a year to make sure they still match your timeline (most providers offer age-based portfolios that automatically shift to safer investments as the child approaches college age).
Keep records of all contributions and withdrawals for tax purposes. When the child is ready for college, you will withdraw money to pay for tuition, books, room and board, computers, and other education expenses. Withdrawals for non-education expenses trigger taxes and a 10 percent penalty on the earnings portion, so plan your withdrawals carefully.
Changing or closing a Trump account
You can change the account's investment options once per calendar year without penalty. If you want to change more often, contact your provider — some allow unlimited changes, while others charge a fee for each change beyond the annual free one.
You can transfer the account to a different provider, though this involves paperwork and may take several weeks. Some states charge a small fee for transfers; others do not. Before you transfer, confirm that the new provider accepts incoming transfers and ask about any tax consequences.
If you want to close the account, you can withdraw all the money at any time. Withdrawals used for education expenses are tax-free; withdrawals for other reasons are taxed as income and subject to a 10 percent penalty on the earnings (not the contributions). If the child does not attend college, you can transfer the account to a sibling or other family member without penalty, which is often a better option than closing the account.
Frequently Asked Questions
Can I open a Trump account if I do not have a Social Security number?
No. The child must have a Social Security number to open an account. If the child does not have one yet, you can apply for one at your local Social Security office or online at ssa.gov. The process takes one to two weeks. Once you have the number, you can open the Trump account immediately.
What if the child's other parent wants to contribute to the account?
The account owner (usually the parent who opened it) controls the account, but other relatives can contribute money to it. The other parent can give money to the account owner, who deposits it into the Trump account. Contributions from multiple people are counted toward the annual gift tax limit per person, not per account.
Can I change which child the money is for after I open the account?
No, but you can transfer the account to a different child (usually a sibling) without penalty or tax consequences. This is called a rollover. Contact your provider to request a rollover; they will handle the paperwork. You can only roll over to a family member of the original beneficiary.
What happens if the child gets a scholarship?
You can withdraw an amount equal to the scholarship from the Trump account without the 10 percent penalty. You will still owe income tax on the earnings portion of that withdrawal, but not the penalty. Keep a copy of the scholarship letter to show your provider when you request the withdrawal.
Do I need to file taxes on the Trump account each year?
No. The account itself does not require a tax return. However, if the account earns more than $1,300 in interest or investment gains in a single year, the child may need to file a tax return or you may need to report the earnings on your own return. Your provider will send you a form (usually a 1099) showing the earnings at tax time.