President Trump signed an executive order Thursday aimed at getting tens of millions of American workers enrolled in retirement accounts.
The order further directs the Treasury Department to implement the Federal Saver’s Match program to boost Individual Retirement Account (IRA) savings.
Here’s what you need to know about the new accounts and the billions of dollars in federal matching available.
Who is eligible for the retirement plans?
Through the website TrumpIRA.gov – launching in January 2027 – all Americans will be eligible to browse and enroll in “high-quality, low-cost” IRA plans offered by private-sector financial institutions.
The plans offered will cater to “American workers who do not have access to employer‑sponsored retirement plans,” according to the White House, particularly independent contractors, part-time workers, small business employees and self-employed individuals.
About 41 million Americans between the ages of 18-65 lack access to employer-provided retirement plans.
How much will the government be matching and who is eligible?
Individuals with a Modified Adjusted Gross Income (MAGI) of $20,500 or less will be eligible for federal match of up to $1,000, which is 50% on the first $2,000 in annual contributions to a workplace retirement plan or IRA, based on their 2027 tax returns.
Those who earn up to $15,000 more than this threshold will qualify for a reduced match.
For joint filers, the income limit is between $41,000-$71,000, and the maximum federal matching available is $2,000.
What other matching is available?
Similar to the president’s Trump accounts for children, the administration is allowing and encouraging private philanthropists to contribute to retirement plans made available on TrumpIRA.gov.
The executive order directs treasury and the IRS to issue guidance clarifying the tax treatment of contributions made by philanthropic and charitable tax-exempt organizations to IRAs on behalf of eligible workers.
Do you need a Trump IRA to get the match?
Not necessarily. Individuals and joint-filers who contribute to qualifying IRAs, and who are otherwise eligible, are entitled to a Federal Saver’s Match contribution of up to $1,000 or $2,000 for couples.
However, TrumpIRA.gov will list financial institutions that offer IRAs able to accept the Federal Saver’s Match contribution.
