How to Buy Acorns: A Comprehensive Guide

Your Guide to buying the best Acorns

Overview

Acorns is an investing platform designed to help individuals save and invest their money with as little effort as possible. This buying guide will provide an in-depth look at the features, costs, and benefits of Acorns, enabling potential users to make an informed decision about whether or not to use the service. It will also explain the best strategies for using Acorns to maximize savings and achieve long-term financial goals.

Key features

  1. Cost: Acorns has a monthly fee of $1, as well as a $1 minimum for each deposit.
  2. Investment Options: Acorns offers a variety of investments including stocks, bonds, ETFs, and funds.
  3. Tax Benefits: Acorns offers tax-advantaged accounts such as a Traditional IRA, Roth IRA, and SEP IRA.
  4. Account Types: Acorns offers individual accounts, joint accounts, custodial accounts, trust accounts, and IRA accounts.
  5. Investment Advice: Acorns provides an in-app investment advisor to help you make the best decisions when investing.
  6. Accessibility: Acorns is available on both iOS and Android, as well as a web-based platform.
  7. Customer Support: Acorns offers customer support via email and phone, as well as a comprehensive FAQ section.

See the most popular Acorns on Amazon

Important considerations

Pros

  • Investment diversification: Acorns offers a diversified portfolio of low-cost index funds, making it easy to invest in a variety of stocks and bonds.
  • Automatic investments: Acorns automatically invests small amounts of money into the portfolio based on your preset preferences.
  • Easy to use: Acorns has a simple and intuitive user interface, making it easy for beginners to get started.
  • Low minimums: Acorns has a low minimum investment of just $5, making it accessible to those with smaller amounts of money to invest.
  • Tax-advantaged accounts: Acorns offers tax-advantaged accounts such as Roth and Traditional IRAs, allowing you to save for retirement in a tax-efficient way.

Cons

  • Cost - Acorns charges a $1 monthly fee, plus a small fee on investments.
  • Limited Investment Options - Acorns only offers limited investment options, with no access to mutual funds, individual stocks, or bonds.
  • Limited Research and Education - Acorns does not provide any comprehensive research or education services.
  • No Tax Benefits - Acorns does not provide any tax benefits for retirement savings.

Best alternatives

  1. Betterment - An online financial advisor offering retirement, investing, and banking services.
  2. Wealthfront - An automated investment service offering tax-advantaged savings accounts and personalized financial advice.
  3. WiseBanyan - An automated investment platform providing free portfolio management services.
  4. M1 Finance - An online investment platform offering individual and joint brokerage accounts and automated investing.
  5. Stash - A personal finance app offering a range of investing and savings options.

Related tools, supplies, and accessories

  • Acorns App - Investing app that helps users automatically invest small amounts of money into stocks and bonds.
  • Round-Ups - Feature offered in the Acorns App that rounds up purchases to the nearest dollar and invests the difference.
  • Acorns Later - Tax-advantaged retirement account offered through Acorns.
  • Acorns Spend - Checking account offered through Acorns.
  • Found Money - Cashback rewards earned through purchases from partner stores that are made using the Acorns App.

Common questions

  1. What is Acorns? Acorns is an automated investing service that helps users build a portfolio through micro-investing. Users link their payment card to the app and can save and invest their spare change from purchases. Acorns also provides users with educational content on investing and saving.
  2. Is Acorns safe to use?Yes, Acorns is a safe and secure platform to use. All data is encrypted and stored securely. Acorns is also FDIC-insured, so your funds are protected up to $250,000.
  3. What types of investments are available?Acorns offers a variety of investments options, such as stocks, bonds, ETFs, and mutual funds.
  4. What fees are associated with Acorns?The Acorns platform has a flat fee of $1/month for accounts with balances under $5,000. For accounts with balances above $5,000, the fee is 0.25% per year.
  5. What is the minimum deposit?The minimum deposit for Acorns is $5.
  6. What are the benefits of using Acorns?The benefits of using Acorns include an easy to use platform, automated investing, educational content on saving and investing, and the ability to save and invest your spare change. It also provides a way to diversify your investments and save for retirement.

Trivia

In 2016, Acorns was named one of the best apps of the year by TIME Magazine. The app was praised for being a great tool for helping people to invest their spare change and begin building their financial future. This was a remarkable achievement for the startup, as it showed how their mission to help people save money was being embraced and recognized by the public. Acorns was praised for its ease of use, its uniqueness in the market, and its potential to help people build wealth. Source: TIME Magazine Best Apps 2016

Disclaimer: This buying guide was not created by humans, and it is possible that some of it's content is inaccurate or incomplete. We do not guarantee or take any liability for the accuracy of this buying guide. Additionally, the images on this page were generated by AI and may not accurately represent the product that is being discussed. We have tried to convey useful information, but it is our subjective opinion and should not be taken as complete or factual.