In separate announcements, JPMorgan Chase and Bank of America on Wednesday said they would match the US government’s one-time $1,000 contribution to children’s retirement savings ‘Trump accounts’ for eligible employees.
In its announcement, JPMorgan Chase said it has demonstrated a long-term commitment to the financial health and well-being of all of its employees and their families around the world, including more than 190,000 here in the United States.
“By matching this contribution, we’re making it easier for them to start saving early, invest wisely, and plan for their family’s financial future,” CEO Jamie Dimon said in a release.
In a memo sent to employees on Wednesday, Bank of America said that it applauded the “innovative solutions” for employee savings, Reuters reported.
What are Trump accounts?
The so-called “Trump accounts” are part of a pilot program that deposits $1,000 from the US Treasury into a tax-advantaged account for eligible children born in the US between January 1, 2025, and December 31, 2028.
Which other firms have made similar announcements?
Several financial firms dominate the list of companies that are matching contributions for the new accounts. Besides JPMorgan and Bank of America, the two largest US banks by assets, BlackRock, BNY, Robinhood, SoFi and Charles Schwab have made similar announcements, CNBC reported.
Trump’s lawsuit against JPMorgan Chase
Notably, JPMorgan Chase’s announcement came days after US President Donald Trump filed a $5 billion lawsuit against the bank.
The complaint, filed in a Florida court, alleged that the bank singled him out for political reasons and closed several of his accounts following the attack on the US Capitol on January 6, 2021, which was perpetrated by his supporters.
Denying the accusation, JPMorgan Chase in a statement said, “JPMC does not close accounts for political or religious reasons. We do close accounts because they create legal or regulatory risk for the company. We regret having to do so, but often rules and regulatory expectations lead us to do so.”