Wisconsin Senate Bill SB988

Wisconsin 2025-2026 Regular Session

• Introduced: 2/6/26
• Refer: 2/6/26
• Failed: 3/23/26

Caption

An Act to create 224.38 of the statutes; Relating to: contributions by the Department of Financial Institutions to Trump accounts.

Summary

SB988 would create a new section of Wisconsin statutes directing the Department of Financial Institutions (DFI) to make a state matching contribution to certain federally created “Trump accounts.” Under the bill, DFI would contribute an amount equal to the federal pilot-program payment made to the account, but only for an eligible child who was born in Wisconsin and resides in Wisconsin when the state contribution is made. The bill ties eligibility to federal law definitions and requires proof that the federal payment was made before the state contribution can be issued. The bill also limits the program in two important ways: DFI may make contributions only if funds are available, and it may not make a second contribution to the same account. The state contribution would be treated as a qualified general contribution under federal law, and the bill does not create a general entitlement to funding beyond available appropriations or resources. In practical terms, the bill would establish a state-administered matching program for a narrow class of children with Trump accounts, using federal definitions and eligibility rules.

Impact

SB988 would add a new statutory mandate in chapter 224 requiring the Department of Financial Institutions to administer a state contribution program for Trump accounts. It would affect DFI’s duties, create a new state spending obligation subject to available funds, and interact with federal tax and retirement-account rules by incorporating federal definitions and treatment of contributions. The bill would not broadly change tax law, but it would authorize state matching payments for qualifying Wisconsin-born, Wisconsin-resident children whose accounts receive the federal pilot payment.

Sentiment

The bill appears to have been introduced by Republican legislators and cosponsored by a group of Republican members, suggesting support among its authors for aligning Wisconsin policy with the federal Trump account program. However, there is no committee transcript or recorded vote history in the provided materials showing broader debate, support, or opposition. The bill ultimately failed to pass pursuant to Senate Joint Resolution 1, indicating it did not advance to enactment despite introduction.

Contention

The main points of contention likely concern whether Wisconsin should use state funds to match federal payments into Trump accounts, especially given the bill’s narrow eligibility rules and the requirement that DFI contribute only when funds are available. Potential critics may question the policy choice to create a state program tied to a politically named federal account and the fiscal commitment involved, while supporters would likely emphasize the matching benefit for Wisconsin-born children and the use of existing federal account structures. No direct committee testimony or vote record is provided, so these concerns are inferred from the bill’s structure rather than documented debate.