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Millions sign up for Trump Accounts, but will employers also contribute?
['Daily Report Staff']
Baton Rouge Business Report
More than 6.5 million families have signed up for Trump Accounts, a new savings program for U.S. children launched on July 4, Fortune reports.
While the accounts have attracted many families, only about 55 companies have announced plans to contribute on behalf of employees’ children, including Bank of America, Chipotle, Dell and Uber.
Under the One Big Beautiful Bill Act, employers can contribute up to $2,500 per year tax-free to these accounts, which are available to U.S. citizens under age 18 and convert into individual retirement accounts when the child turns 18.
However, many employers are waiting for more Treasury Department guidance before offering contributions.
Employers are also seeking guidance on nondiscrimination rules and how to manage contributions across different financial institutions.