A: One of the biggest differences is eligibility. A Trump Account allows parents to start investing for their children even before the children begin earning money from work.

* Roth IRAs require earned income. A child can contribute to a Roth IRA only if they have qualifying earnings. For 2026, the contribution limit is the lesser of the child’s eligible earnings or $7,500. For example, a child earning $1,000 from a part-time job could contribute up to $1,000. A Trump Account has no earned-income requirement during childhood.

* Trump Accounts offer special contributions. Qualifying children born from 2025 through 2028 can receive a one-time $1,000 government contribution. Employers can also contribute up to $2,500 annually under a qualifying program, without increasing the employee’s taxable income.

* The tax treatment is different. Both accounts allow investments to grow without annual income taxes. However, Roth IRAs offer tax-free qualified withdrawals, including investment earnings, while Trump Accounts offer tax-deferred growth. Ordinary after-tax contributions to either account generally aren’t taxed again, but government and tax-excluded employer contributions to Trump Accounts may be taxable when withdrawn.Bottom Line: Roth IRAs generally offer more favorable tax treatment of investment earnings, but Trump Accounts allow families to start investing before a child has earned income. The government contribution and special employer contributions provide additional benefits that Roth IRAs don’t offer.