MONTGOMERY, Ala. — Governor Kay Ivey is encouraging Alabama families to participate in a new federal savings and investment program designed to help children build long-term financial security.
Known as Trump Accounts, the tax-advantaged investment accounts are scheduled to launch on July 4, 2026, and will be available to U.S. citizens under the age of 18.
“As we prepare to celebrate America’s 250th birthday, I thank President Trump for championing an initiative that invests in the future of our nation’s children,” Ivey said. “Trump Accounts will give Alabama families a unique opportunity to help their children take an early step toward achieving the American Dream. I encourage parents and grandparents across the state to take advantage of this opportunity and help give the next generation a strong start.”
Under the program, every American child born between Jan. 1, 2025, and Dec. 31, 2028, will receive a $1,000 contribution from the U.S. Treasury to establish a Trump Account.
Officials say the accounts are intended to provide children with an early financial foundation while allowing investments to grow over time through market gains and optional contributions from family members.
Parents, grandparents, and other contributors may add up to $5,000 annually to a child’s account. The funds can continue growing until the child reaches age 18.
When account holders become adults, they may use the funds for qualifying expenses such as higher education, purchasing a home, or other major life investments while receiving tax advantages similar to those available through traditional Individual Retirement Accounts.
Supporters of the program say it also provides an opportunity for young Americans to learn about investing, saving, and the long-term benefits of compound growth.
Once a child turns 18, control of the account transfers to them. They may choose to use the funds for eligible expenses or continue investing the money for future growth. After they begin earning income, account holders can continue making contributions to their Trump Account.
To get started, fill out IRS Form 4547. For more information about Trump Accounts, call the Trump Account call center at 866-USA-4547, or visit trumpaccounts.gov.