Parents of eligible children can request a one-off $1,000 federal contribution to Trump Accounts, but a sizeable minority are choosing not to participate, with political objections cited as a leading reason. A BabyCenter survey published in July found that 27 per cent of mothers with a baby or one on the way did not plan to open a Trump Account for their child.

The US Department of the Treasury launched the programme's app on 4 July 2026 and began automatically enrolling eligible children in Trump Accounts on 1 October. However, parents must still claim their child's account to manage it and separately request the $1,000 government contribution.

What Trump Accounts Offer Families

Trump Accounts are tax-advantaged investment accounts. They were created under a 2025 law. US citizens born between 1 January 2025 and 31 December 2028 who have valid Social Security numbers may qualify for a one-off $1,000 contribution from the federal government.

Parents must claim the account to manage it and separately elect the $1,000 government contribution. At 18, the account generally becomes subject to standard traditional IRA rules.

The Trump Accounts app launched on 4 July. Trump said at a rally later that month that more than 7 million accounts were already active. Relatives, friends and employers can also contribute, subject to an annual limit of $5,000 for most contributions. The government's $1,000 seed contribution is excluded from that limit.

The Treasury oversees the programme, with BNY designated as its financial agent and Robinhood Securities serving as the initial trustee. Parents can claim automatically enrolled accounts through the Trump Accounts app or website. IRS Form 4547 can be used to request the $1,000 government contribution. Unlike most baby bonds, which target disadvantaged children, the accounts are open to families of all incomes.

Why Some Parents Are Saying No

Caroline Picard, deputy editor at BabyCenter, said about 80 per cent of parents were aware of the scheme, while the survey found that 27 per cent of mothers with a baby or one on the way did not plan to open an account. Published coverage of the BabyCenter survey reported that 12 per cent of respondents cited disapproval of the administration, while 14 per cent preferred a 529 college savings plan.

The branding is a sore point. Republican lawmakers call them Trump accounts, though a Senate plan to name them officially after the president did not survive into the final legislation signed in July 2025. One adviser notes that the accounts are no replacement for 529 college savings plans, which allow more flexible contributions and a wider range of education spending. Awareness is not the same as understanding, either.

Omni Calculator found only 7 per cent of parents felt very confident about how the accounts work, while 58 per cent of new or expecting parents had opened or started one. Only 32 per cent knew that parents must separately request the $1,000 government contribution, while 30 per cent wrongly believed withdrawals become completely tax-free when a child turns 18.

One parent wrote on X that they would not participate because everything associated with the president is a scam and might involve selling a child's Social Security number.

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Early Delays and Reluctant Sign-Ups

Masaki and Kristina McLellan, from Bergen County, New Jersey, said they were wary because they feared the accounts were a promotional stunt for the president. The deposit persuaded them to apply for their daughter Maya anyway, making it the third investment account in her name. Mr McLellan said his application was first rejected, and the account was activated only after he spent an hour on the Trump Account hotline.

The treasury described the gap between opening an account and receiving the money as 'standard processing time, like receiving a tax refund', and said most parents wait one to two days. It added that the accounts let every parent invest, not just wealthy families with trust funds. Some families were told it could take four weeks.

Researchers at Washington University have warned that opt-in systems typically achieve participation well below 60 per cent, compared with near-universal take-up when enrolment is automatic. They recommended automatic opening of Trump Accounts unless a parent declines.

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