News Corp announced Thursday that it will match the Treasury Department’s one-time $1,000 contributions to Trump accounts for eligible employees – becoming the latest major employer to support the new program.
Starting July 4, parents will be able to open tax-advantaged investment accounts – known as Trump accounts, or 530As – for kids who are citizens under 18 with Social Security numbers.
The US Treasury will seed accounts for children born from 2025 through 2028 with $1,000 – which News Corp pledged to match with a one-time supplemental contribution.
News Corp is the parent company of The Post, Dow Jones, The Wall Street Journal and HarperCollins. Fox Corporation, which shares ownership with News Corp, also announced Thursday that it will match contributions to Trump accounts for employees’ kids.
“The company’s matching contribution to our employees’ children is intended to fortify their finances at a crucial moment in their development,” News Corp CEO Robert Thomson said in a Thursday statement.
Trump accounts have been drawing growing support from big employers, with Bank of America, JPMorgan Chase, BlackRock and Chime Financial offering to match government contributions.
The government will invest savings from Trump accounts – which can be used to jumpstart a business or pay for school or a down payment on a home – in low-cost index funds.
They don’t have the same tax advantages as 529 accounts or Roth IRAs, which are primarily used to save for college and retirement, respectively.
Withdrawals from the Trump accounts are not permitted until the beneficiary turns 18. The assets will then be rolled into an IRA, and withdrawals will be taxed.
But the program makes it easier for major corporations and philanthropists to contribute to the investment accounts on a broad scale.
Rap star Nicki Minaj – who joined Trump at an event touting the program last month – pledged to contribute $150,000 to $300,000 to boost her “Barbz” fans’ savings.
In December, Michael and Susan Dell announced a historic $6.25 billion donation toward Trump accounts for 25 million American children, or $250 per account.
Dell Technologies also announced it will match Treasury’s $1,000 grants.
Account contributions are limited to $5,000 per year, with the employer portion restricted to $2,500 annually.
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