How to Money · Monday, September 14, 2026
A listener, Jordan, inquired about 'Trump accounts' and the implications of family contributions, expressing a 'wary' feeling about the process. The hosts clarified that these are essentially retirement accounts and discussed the pros and cons compared to 529 plans, which are specifically for higher education. They advised that for a child likely to attend college, a 529 plan might be more beneficial due to tax advantages and flexibility, though the decision depends on individual circumstances and family preferences.
“And on the Trump accounts note, I'm really proud of Jordan for snagging the free money. Trumpaccounts.gov is the website. It is open for business now.”
“But if you have, let's say, 40, 50 grand by the time your child turns 18, think about how big that's going to be at age 65. And maybe it gets liquidated before then. But that is ultimately what will make it a better account is if you Rothify it once you hit the age of 18.”
“I will say I signed up over the summer and did it online. And then I went and checked. When you go to the trumpaccounts.gov website, it tells you to download an app. And so I downloaded that app, entered my information, and it's like, we don't see anything. They don't have any records.”