Wall Street giant Citi on Thursday informed the company’s U.S.-based employees that the firm plans to match the federal government’s seed contribution to newborns’ Trump Accounts and will also donate to efforts to boost participation.
Citi sent an internal message, which was reviewed by FOX Business, that notified employees that the company will contribute $1,000 to the Trump Accounts of children born to Citi’s U.S. workers from 2025 to 2028, the period in which the federal government will contribute the same amount to the tax-advantaged savings accounts.
“We are pleased to share that Citi will match the U.S. government’s $1,000 seed contribution to the accounts for children of eligible U.S. colleagues born between Jan. 1, 2025, and Dec. 31, 2028. This new benefit adds to the comprehensive suite of benefits that Citi provides to colleagues and their families,” the company explained.
“These accounts are intended to promote long-term savings from a young age and provide children with investment assets that will grow over time,” Citi explained. “We’re excited to play an active role in supporting the financial well-being of families across the U.S.”
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Citi indicated it will provide employees with additional information about participating in the matching program as more details about Trump Accounts are released by the federal government.
The company also announced that the Citi Foundation is committing $5 million to nonprofit groups that will “create awareness of the program, encourage participation and support families in completing the steps necessary to open accounts.”
“The Foundation has been a longtime supporter of community-based, matched savings programs, which have proven to be a powerful tool helping households build financial capability and attain education, home ownership and entrepreneurship goals,” Citi said.
“This grant builds on that track record and takes these efforts to a new level of scale and impact.”
Bank of America, JPMorgan Chase and Steak ‘n Shake previously announced they would match the government’s $1,000 contribution.
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| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| C | CITIGROUP INC. | 115.74 | -1.69 | -1.44% |
| BAC | BANK OF AMERICA CORP. | 54.94 | -0.44 | -0.79% |
| JPM | JPMORGAN CHASE & CO. | 310.16 | -7.11 | -2.24% |
Trump Accounts were created under a provision of the One Big Beautiful Bill Act signed into law last year, and the law also indicated the accounts will be seeded with $1,000 in federal funds for children born between Jan. 1, 2025, and Dec. 31, 2028. Funds will be invested in a broad index fund of U.S. stocks.
The accounts may also be opened for children who are under the age of 18 and born prior to Jan. 1, 2025, although they won’t receive the $1,000 seed deposit from the government.
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Parents may contribute up to $5,000 per year to the accounts, while their employer can contribute up to $2,500 per year without affecting the employee’s taxable income.
Account holders may access the funds when they turn 18, when they can be used for expenses related to education or a down payment on a home, among other uses. Or the funds can continue to grow in the account.
The Trump administration has indicated that Trump Accounts will officially launch July 5, 2026.
Parents may enroll their child in the program by making an election when they file their taxes, and more information about the program is expected to be made available months ahead as the official launch approaches.
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