Trump Just Auto-Enrolled Your Kids in Trump Accounts — What’s Next?

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Did your child just get a Trump Account, and what should you do next? The Treasury Department announced that automatic enrollment was completed for more than 60 million additional eligible children, but having an account established doesn't automatically mean your child has received $1,000. In this video, I explain how to claim your child's Trump Account, who qualifies for the federal $1,000 pilot contribution, how the $5,000 annual contribution limit works, and how parents, grandparents, employers, and other organizations may help the account grow. We’ll also cover how these accounts are invested, how contributions and investment earnings are treated for tax purposes, and what changes when your child turns 18. Most importantly, I’ll explain how Roth conversions could create future tax-planning opportunities for young adults, while highlighting important considerations like the kiddie tax, IRA basis, the pro-rata rule, and the potential tax cost of conversions. The goal is to help you understand what your child has, what you need to do next, and how to think strategically about building long-term wealth for their future.

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