also Sidefi is issuing a Lame Call
on the inclusion in the OBBB of the MAGA Accounts (stands for “money account for growth and advancement”)
rumor has it they may end up calling them 'Trump accounts'
many vehicles already exist that provide bigger benefits
this is a bureaucratic process that really only the well heeled will take advantage of with the help of their CPA
MAGA accounts are limited to a single U.S. equity index fund!
although and interesting twist is they can also be used home-buying, or business start-up (which a 529 can not)
but at only 5k max a year, that's not going to be a whole lot to start a business or buy a house in 18 years
again, will mostly just be another tax shelter only those making big bucks will take advantage of
those born in the next five years will have $1000 in an account, that potentially could be a nice 18'th birth day gift
if you put 1k in a DJI index 18 years ago, you would have $3500 today
every newborn in the United States born between January 1, 2025, and January 1, 2029 (some sources say December 31, 2028), would receive a $1,000 deposit from the federal government into a new custodial investment account established in their name
like the 401k's this will actually be a huge win for the banking industry who will get a cut of everyone of these and I'm sure will make billions in fees because of this
I do think there should be something in there that banks can't charge fees higher than 0.5% or something
I have to imagine there is a clause in there that 'birthright citizens' are not eligible
