OBBBA Investor Highlights

The OBBBA creates federally managed tax-advantaged savings accounts for children born in the US from 2024 to 2028, seeded with $1,000 from the federal government. You can contribute up to $5,000 per year to your child’s account until they turn 18. The accounts are designed to help families build long-term savings for education, homeownership, or retirement.

The Qualified Small Business Stock (QSBS) gain exclusion rules are significantly enhanced to make them more accessible and impactful for early-stage investors. For QSBS acquired at original issuance after July 4, 2025, the exclusion is tiered: 50% for stock held for at least three years, 75% for stock held for four years, and 100% for stock held for five years. The per-issuer exclusion cap is expanded from $10 million to $15 million, indexed for inflation (beginning in 2027). And the corporate gross asset limitation is increased from $50 million to $75 million.