President Trump signed an executive order last week that would potentially create a new way to save for retirement for the roughly 56 million Americans that do not have access to an employer-sponsored plan, like a 401k.
TrumpIRA.gov Launches Next Year for Private Sector IRA Enrollment
Trump announced the launch of a new website next year, TrumpIRA.gov. He says workers will be able to research, compare, and enroll in private sector IRA accounts, and even potentially receive matching contributions from federal government.
How the Trump IRA Match Works with SECURE Act 2.0 Saver’s Match
The matching funds would come from an integration with the Saver’s match, a provision from SECURE ACT 2.0 legislation passed over 4 years ago. That is a tax credit given to eligible workers who contribute to a retirement plan. Rather than a tax credit, the TRUMP IRA plan would match workers 50% of their contribution, up to $1,000.
Who Qualifies for the Trump IRA — Income Limits Explained
Only about half of the 56 million workers who don’t have access to an employer plan would actually qualify for the new Trump IRA. That’s because there are income limits tied to the plan.
Single tax filers who make up to $20,500, or joint filers who make up to $41,000 are fully eligible, with phase outs in place up to $35,500 for single filers and $71,000 for joint filers. So, basically, this is an option available to low-income workers.
Trump’s $465,000 Retirement Claim for Young Savers
The President touted that young workers who save regularly would be able to have $465,000 in these accounts by the time they’re 65. He said they would be rich.
While there a lot of problems with that statement, the proposal looks to be a good faith effort to help low-income Americans have more to retire on than just Social Security.
But, as always, we are not big believers that government will help you create financial independence.
The Social Security Crisis: Trust Fund Depletion by 2033
Social Security faces a crisis of its own that needs legislative action. The Trust fund will be depleted by 2033, meaning only incoming tax revenue will be available to pay benefits. It won’t be enough. Social Security estimates they would only be able to pay 77% of benefits.
Record 401(k) Hardship Withdrawals: Vanguard’s 2025 Report
At the same time, workers are raiding their 401k’s like never before. A recent report from Vanguard, which holds over $6 trillion in 401k accounts, showed a record 6% of participants took hardship withdrawals in 2025 to cover urgent needs. Some of this is due to legitimate economic hardships, but, SECURE Act 2.0 also made it easier to take a penalty-free withdrawal, allowing employers to accept employee self-certification. In other words, they don’t have to prove it.
Your Financial Independence Is Up to You — Not the Government
The point is, the government and political winds are always changing, and that impacts retirement rules both positively and negatively. Your financial independence is up to you. Your financial decisions, behavior, and planning are way more important than anything the government creates. Take advantage of what helps you, but work with a financial advisor to reach your goals.
Securities are offered through LPL Financial, Member FINRA/SIPC. GenWealth Financial Advisors is an other business name of Independent Advisor Alliance, LLC. All investment advice is offered through Independent Advisor Alliance, LLC, a registered investment adviser. Independent Advisor Alliance, LLC is a separate entity from LPL Financial.
