In Reply to: Re: Trump accounts are not voluntary posted by confused442 on October 08, 2026 at 10:42:31
I don't think that is correct. Dell is putting up 250 per child, the government 1000. I'm fine with child savings accounts, the 529 plan which already existed, is better
If you have both that's great, if you can only have one, 529 is better. 529 is tax free if used for school, Trump account even used for school is taxed as ordinary income
529 you can control it, Trump accounts you have no control, they're even putting money in individual stocks by way of donations from Dell and Space X. They're not doing it to be nice they're getting massive tax breaks. Is free money good yes, would putting it into a 529 be better, yes.
A friend of mine is a financial planner he said the overwhelming concern in the industry is parents who would have gotten a 529 now won't because of the Trump fund and their child will ultimately have less saved as a result. The original plan said only ETF's but they just shifted it to allow individual stock donations.
The concern is we're going to see a decline in 529 plans because of this and virtually nobody thinks this is better than a 529