Originally published on 12/16/25

President Donald Trump recently said he was “seriously” looking into bringing the Australian-style retirement program called superannuation to the United States. The news was shared by the president at an event centered on the new Trump retirement savings account, which was the result of the One Big Beautiful Bill Act (OBBBA).  Below, we share everything you need to know about the Australian retirement plan, including when it could come to the United States and how it’s connected to the Trump retirement savings accounts. 

What to know about Australia’s retirement savings​ plan

Superannuation—or super for short—is a mandatory Australian retirement savings system established in 1992. It requires employers to put 12 percent of their employees’ salaries into a special savings account controlled by fund managers, who help it grow over time. Then, once an employee reaches retirement age, he or she can take money from the account.

It’s similar to a 401(k), with the main difference being that it’s mandatory. Since its launch, it has worked well for Australian citizens, despite complex legislative changes and contribution caps. 

“With an aging population and declining birth rates, a system like this takes the fiscal burden off future generations,” Tim Jenkins, partner at consulting firm Mercer, told CNN. “[But] there is no opt out…If you are employed, your employer must pay 12 percent of your pay to your retirement savings, and it’s locked up until you’re approaching retirement age, with a few ways to access on the way, but very limited indeed.”

That limitation doesn’t seem to concern President Trump, who teased the idea of bringing it to America in a press conference earlier this month. 

“There’s a certain Australian plan that people like,” he told reporters. “We’re looking at it very seriously. It’s a good plan. It’s worked out very well.”

Currently, there is no word on whether the changes will be made official in America anytime soon. Still, it’s been brought up multiple times in the past year, so it’s safe to assume the idea is still under discussion for the time being. 

“What has struck U.S. officials and investors is how the strength of Australia’s super system policy settings—automatic super payments, near universal coverage and preservation of savings until retirement—have helped Australians grow world-leading retirement nest eggs,” Matthew Linden, executive general manager of strategy and insights at Super Members Council, said in February, per CNN. 

What does the Australian retirement savings​ plan have to do with the Trump retirement savings account?​

The Trump retirement savings account​ is a new savings and investment account that allows parents, guardians other family members, friends and employers to start saving for a child’s retirement. It was established in the OBBBA, and applications to enroll are currently open. 

In a recent press conference, Trump discussed the new program further, which was when he brought up the superannuation idea. 

“There’s a plan where, not for children necessarily, but for people, working people, and we are looking at other things different from this,” the President said. “Trump accounts will be the first—I guess you could say—first real trust funds for every American child, allowing family members, employers, corporations, generous donors to contribute money that will be invested and grow.”

Also, during the press conference, the president shared that if a child born between January 1, 2025 and December 31, 2028, is enrolled in the program, the government will send them an extra $1,000. 

Philanthropist Michael Dell, founder of Dell Technologies, and his wife Susan also attended the briefing and announced they would give the administration $6.25 billion to help launch the program. They will also be putting money into children’s accounts who live in ZIP codes with a median family income of $150,000 or less and don’t qualify for the $1,000 bonus. 

“We want these kids to know that not only do their families care, but their communities care, their government, their country cares about them,” Susan told The Associated Press.

Trump’s retirement savings account​ launches on July 4, 2026, and while all of the details aren’t worked out yet, Ray Boshara, senior policy adviser with the Aspen Institute and Washington University in St. Louis, tells The Associated Press, “We would like to see this idea continue and get better over time, just like any big policy. The ACA [Affordable Care Act], Social Security—they start off fairly flawed but get much better and more progressive and inclusive over time. And that’s how we think about Trump Accounts. It’s a down payment on a big idea that deserves to be improved and there’s bipartisan interest in improving them.”

Link to original: https://www.womansworld.com/life/money/trump-retirement-savings-account-and-australia-retirement-plan-explained