Acorns
ActiveOverview
Acorns is a US-based mobile app that automates micro-investing by rounding up everyday purchases to the nearest dollar and investing the spare change into diversified ETF portfolios. It provides personal investment accounts, IRAs (Traditional, Roth, SEP), custodial accounts for children (Acorns Early), and a checking account with automated investing features, targeting beginners and passive investors who prefer hands-off, automated saving and investing.134
Key Features
- Round-Ups - Automatically rounds up purchases from linked debit or credit cards to the next dollar and invests the spare change.13
- Recurring Investments - Enables scheduled investments starting from $5 into ETF portfolios.3
- Expert-Built Portfolios - Diversified ETF portfolios managed and rebalanced automatically for long-term investing.13
- Acorns Later - Retirement accounts including Traditional, Roth, and SEP IRAs with potential tax advantages.13
- Acorns Early - Custodial investment accounts for children.1
- Acorns Checking - Checking account that invests portions of spending and paychecks.3
- Emergency Fund - Automated savings from paychecks for unexpected expenses.3
- Dividend Reinvesting - Automatic reinvestment of dividends.2
Pricing
| Plan | Price | Includes |
|---|---|---|
| Lite | $3/month | Basic investing with Round-Ups and recurring investments. |
| Personal | $5/month | Investing, retirement accounts, and emergency fund. |
| Family | $9/month | All Personal features plus custodial accounts for kids. |
Platforms & Requirements
Acorns is available as a mobile app on iOS and Android devices, with web access for account management. It requires linking bank accounts or cards for functionality; no desktop native apps are offered. Minimum device requirements align with standard app store specifications.
Integrations & Ecosystem
- Linked debit and credit cards for Round-Ups
- Bank accounts for recurring investments and transfers
- Paycheck direct deposit for automated savings
- External brokerage transfers for IRAs
Alternatives
| App | Difference |
|---|---|
| Stash | Offers themed investments and stock picking alongside automation, less emphasis on pure spare change investing. |
| Robinhood | Commission-free trading of individual stocks and crypto with manual control, no automatic round-ups. |
| Wealthfront | Robo-advisor with tax-loss harvesting and larger minimums, focused on advanced portfolio management. |
| Betterment | Automated ETF portfolios with financial planning tools, higher minimum investments than Acorns. |
Reputation
Acorns is recognized for simplifying investing for beginners through automation like Round-Ups, appealing to those starting with small amounts.12 Criticisms include monthly subscription fees that reduce returns for small portfolios and limited investment customization compared to self-directed brokers.1 It maintains an active user base but faces competition from fee-free alternatives.