A new survey from digital parenting platform BabyCenter indicates that 27% of mothers with a newborn or expecting child do not intend to open a Section 530A savings account—commonly known as a Trump Account—for their children. The findings, released last month, highlight a notable gap between government outreach and consumer adoption of the program, which launched on July 4, 2025, as part of the One Big Beautiful Bill Act.
Among the 27% opting out, 12% cited disapproval of the current administration as their primary reason, while 14% said they would instead use a 529 college savings plan. “I just feel like I can get a lot further [by] opening a 529 account,” one respondent stated in the survey. The data suggests that despite a wave of publicity from the White House and participating financial firms, awareness remains incomplete: 20% of mothers surveyed said they did not know what a Trump Account is.
On the other hand, more than half of respondents—53%—indicated they plan to open a Trump Account for their child. Notably, 17% of those planning to participate said they would do so for the free money even though they do not support the administration. The accounts provide a one-time $1,000 government contribution for children born between January 1, 2025, and December 31, 2028, with parents or legal guardians serving as sole custodians until the child turns 18. While no additional contributions are required, families may deposit up to $5,000 per year to maximize growth.
Several major financial institutions have announced matching programs to supplement the government’s seed contribution. Franklin Templeton said it will match the $1,000 for eligible children of its U.S. employees, as reported in Franklin Templeton to Match $1,000 Government Contribution for Employee Trump Accounts. JPMorgan Chase committed to a similar match in January, and Bank of America is reportedly planning one as well. Charles Schwab, Robinhood, BlackRock, and Bank of New York Mellon also pledged last year to match the government’s contribution.
The Treasury Department has designated five index ETFs as default investment options for Trump Accounts, with the State Street S&P 500 fund serving as the primary default, as detailed in Treasury Names Five Index ETFs for Trump Accounts, Defaults to State Street S&P 500 Fund. However, unresolved questions about tax treatment, fees, and the impact on college financial aid eligibility persist, as noted in 530A Accounts Launch July 4 with Unresolved Tax, Fee, and Financial Aid Questions.
The BabyCenter survey underscores a broader challenge for financial advisors: helping clients navigate the new account type amid competing savings priorities. While the $1,000 government seed is a clear incentive, the preference for 529 plans among some mothers reflects the established familiarity and tax advantages of those vehicles. Advisors may need to weigh the trade-offs between Trump Accounts and 529 plans, especially for clients with longer time horizons or concerns about the program’s political associations.
For advisors, the data also points to an educational opportunity. With 20% of mothers unaware of what a Trump Account is, there is room to inform clients about the mechanics, benefits, and limitations of the Section 530A accounts. As more employers and financial firms roll out matching programs, the landscape could shift, but for now, the survey suggests that adoption is far from universal.
