Bank of America employees could get an extra $1,000 — here’s how the Trump account match works

Bank of America said it will match the U.S. government’s first $1,000 payment into new Trump Accounts for eligible employees, according to an internal memo. This match comes from a new government program. The match is linked to the new “Trump Account” program created under President Donald Trump’s One Big Beautiful Bill Act, Reuters reported.

The Trump Account is for children born between 2025 and 2028. Under the plan, every child born from 2025 to 2028 with a valid Social Security number will get a $1,000 starter deposit from the U.S. Treasury. The government puts the money into safe investments. The $1,000 will be invested in low-cost index funds chosen by the government, and the money can grow over time without paying taxes right away.

Trump account rules

Taxes are paid only when the money is taken out. People will pay income tax when they withdraw money from the account, not while it is growing, Reuters reported. The program has yearly contribution limits. Total contributions to a Trump Account are capped at $5,000 per year. Employer contributions have a lower limit. The employer’s share of contributions is expected to be limited to $2,500 per year.

Bank of America employee benefits

Bank of America employees can add money from their salary. The bank will allow eligible employees to make pre-tax contributions to Trump Accounts directly from their paychecks, according to the internal memo. The Trump Account system is expected to roll out on July 4. Bank of America recently rewarded employees in another way too.

Earlier this month, the bank said it would give about $1 billion in equity to employees, excluding senior management, after a strong year of rising profits. Bank of America is one of the biggest U.S. banks. The company is the second-largest lender in the United States, Reuters noted.

FAQs

Q1. Who can get the extra $1,000 from Bank of America?

Eligible Bank of America employees can get a $1,000 match if the government adds money to a Trump Account for their child.

Q2. What is a Trump Account in simple words?

A Trump Account is a government-backed investment account that starts with $1,000 for children born between 2025 and 2028.