Updated October 29, 2026. Quick answer: The Trump account contribution limit for 2026 is $5,000 per beneficiary, section 530A(c)(2) of the Internal Revenue Code from Public Law 119-21 section 70204. The $5,000 is not adjusted for 2026, because the statute starts the cost-of-living adjustment with taxable years after 2027. Contributions could not begin before July 4, 2026, so 2026 is the first year of the program. Some contributions, such as qualified rollover contributions and qualified general contributions, are exempt from the limit.
The 2026 limit
| Piece | Amount | Where it is written |
|---|---|---|
| Annual contribution limit, 2026 | $5,000 per beneficiary under 18 | Section 530A(c)(2)(A) |
| Cost-of-living adjustment starts | Taxable years after 2027 (so 2028) | Section 530A(c)(2)(C) |
| Rounding once indexed | Next lowest multiple of $100 | Section 530A(c)(2)(C)(ii) |
| Limit for 2028 and later | $5,000 increased by the cost-of-living adjustment | Section 530A(c)(2)(C)(i) |
| Fund cost ceiling | 0.1 percent a year | Section 530A(b)(3)(A)(iii) |
The limit is written for each calendar year before the beneficiary turns 18: “The aggregate amount of contributions (other than exempt contributions) for such calendar year shall not exceed $5,000.” The exempt contributions are “a qualified rollover contribution”, “any qualified general contribution” and “any contribution provided under section 6434”.
When indexing starts
The adjustment clause begins: “In the case of any taxable year after 2027, the $5,000 amount under subparagraph (A) shall be increased by an amount equal to” the amount times the cost-of-living adjustment under section 1(f)(3), with a different base year, and “If any increase under this subparagraph is not a multiple of $100, such amount shall be rounded to the next lowest multiple of $100.” Because the clause starts after 2027, no inflation adjustment applies to 2026. The 2026 limit is $5,000. The IRS describes it the same way in Rev. Proc. 2026-25: “a Trump account is subject to an annual contribution limit of $5,000, adjusted for inflation after 2027.”
What a Trump account is
The statute defines it as “an individual retirement account (as defined in section 408(a)) which is not designated as a Roth IRA”. It is set up for a child who has a Social Security number and has not turned 18 before the end of the year the election is made. Contributions had a start date: the account instrument can accept none “before the date that is 12 months after the date of the enactment of this section”, and the Act was enacted on July 4, 2025, so the earliest date is July 4, 2026 (computed). For 2026 that leaves the months from July 4 on.
Deductions, withdrawals and investments
Contributions are not deductible: “No deduction shall be allowed under section 219 for any contribution which is made before the first day of the calendar year in which the account beneficiary attains age 18.” Money stays in until then: “no distribution shall be allowed before the first day of the calendar year in which the account beneficiary attains age 18”, with exceptions the statute lists. Investments are limited to a mutual fund or exchange traded fund that “tracks the returns of a qualified index”, “does not use leverage” and “does not have annual fees and expenses of more than 0.1 percent of the balance of the investment in the fund”.
Common mistakes
- Expecting an inflation-adjusted 2026 limit. The statute indexes only for taxable years after 2027.
- Counting a rollover or a qualified general contribution against the $5,000. The statute exempts them from the limit.
- Expecting a tax deduction for putting money in. The statute disallows the section 219 deduction for these contributions.
- Treating it as a Roth IRA. The statute says it is an IRA that is not designated as a Roth IRA.
Related: the 2027 Trump account contribution limit, the 2027 IRA contribution limit, the 2027 529 gift tax election, the 2027 ABLE account contribution limit, college money and 529 plans, and the 2026 tax brackets.
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Answer againSources
- Public Law 119-21 (One Big Beautiful Bill Act), July 4, 2025, enacted text (U.S. Government Publishing Office): www.govinfo.gov
- Internal Revenue Service, Rev. Proc. 2026-25, Transfer Tax Safe Harbor for Certain Contributions to Trump Accounts: www.irs.gov
Read from the primary documents linked above on October 29, 2026. General information, not tax advice. Your own facts decide the outcome, and a preparer or the IRS itself is the right place to confirm anything consequential.