Bank of America Adopts Trump Administration’s Savings Initiative
Bank of America is backing a major savings program initiated by the Trump administration. They’ve announced plans to match a $1,000 federal contribution to accounts for eligible employees’ children born between 2025 and 2028.
The second-largest bank in the U.S. will also enable employees with children under 18 to contribute pre-tax amounts to these accounts via payroll deductions. This information was shared in an internal memo that reached the bank’s 165,000 U.S. workers on Wednesday morning.
This move comes just ahead of the upcoming Trump Accounts Summit hosted by the Treasury Department, marking Bank of America as an early participant in this federal initiative.
Known as Section 530A Accounts, Trump Accounts are tax-advantaged savings accounts available for children under 18, set up through the One Big Beautiful Bill Act. A parent or guardian can create one of these accounts before the end of the year in which the child becomes eligible.
The federal program offers a pilot contribution of $1,000 for U.S. citizens born between January 1, 2025, and December 31, 2028, provided they have a valid Social Security number.
In a memo, the bank expressed its support, stating, “We applaud the federal government for providing innovative solutions to help employees and families plan for their futures and welcome the opportunity to participate. We share the Administration’s goal of helping individuals and families build a stronger economic future and, in doing so, strengthening America.”
The memo, titled “Building Long-Term Financial Security for Teammates and Their Families,” outlines the purpose of the Trump Account program—to assist more Americans in saving for future goals and milestones.
Additionally, Bank of America mentioned it is collaborating with the Trump administration to introduce Trump Accounts for its customers. More information about employee benefits related to this program will be revealed in the coming weeks.
This announcement follows the bank’s recent decision to grant $1 billion in equity through its Shared Success Equity program, which benefitted non-senior employees with a total of approximately 19 million shares.
