The Employer Contribution Opportunity
Most parents don't know this: under Section 128 of the tax code, employers can contribute up to $2,500 per year to an employee's dependent's 530A Trump Account — and that contribution is completely pre-tax to the employee. This is essentially free money for your child that reduces your taxable income at the same time.
How It Works: The Trump Account Contribution Program
Employers who want to offer this benefit must set up a Trump Account Contribution Program (TACP) — a separate written plan that governs how contributions are made. This is similar to how companies set up 401(k) plans or FSA programs. The TACP can also be structured through a Section 125 cafeteria plan, allowing employees to make their own pre-tax contributions through payroll deductions.
What the $2,500 Limit Means for Your Family
The employer contribution of up to $2,500 per year is excluded from your taxable income. If you're in the 22% tax bracket, a $2,500 employer contribution saves you $550 in federal income taxes compared to receiving that money as regular wages — plus it builds wealth for your child at the same time.
How to Ask Your Employer
Many HR departments are still learning about this benefit. Don't wait for them — bring it to them. Ask your HR manager: 'Are you planning to offer a Trump Account Contribution Program under Section 128 for employee dependents?' Early-adopting companies will attract and retain top talent with this benefit — that's a compelling pitch for any employer.
Can Employers Match the Government $1,000?
Yes — employers have the option to match the government's $1,000 pilot program contribution for eligible employees with qualifying children born 2025–2028. This match counts within the $2,500 annual employer limit. Dell Technologies has already announced they'll match contributions for their employees. Ask if your employer will do the same.
This Benefit Is Worth Fighting For
The 530A employer contribution is one of the most underutilized benefits of the new program — because most families don't know it exists. Spread the word at your workplace. Ask your HR team. If you're a business owner, consider offering this to attract talent and invest in your employees' families. Every family deserves access to tools like this.
🎯 Your Child's Wealth Journey Starts Here
Download our free Trump Account Blueprint Guide — includes an employer conversation template, contribution strategy, and complete family wealth roadmap.
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