Betterment review 2026

Savers who deposit every month

Savers who deposit every month pay less. A $200 monthly recurring deposit moves the account to 0.25% from the first dollar, so a $5,000 balance costs $12.50 a year instead of $60. Set the deposit up before the first month's fee posts.

Investors who want tax-loss harvesting

Investors who want tax-loss harvesting get it in the managed fee, with tax coordination across taxable accounts and IRAs. It only helps in a taxable account, since gains inside an IRA aren't taxed each year. Our Betterment vs Wealthfront comparison covers how the two robo-advisors handle tax features.

Households that want a planner

Households that want a planner can use Premium once they hold $100,000 across eligible accounts: IRAs, an HSA, a Solo 401(k), and taxable accounts. Planners can help with a backdoor Roth, which accounts to use, and money held outside Betterment, and they'll work with your CPA. If you had an Ellevest app account, it moved to Betterment in 2025 (see our Ellevest review), so this is now your pricing.

Betterment pros

No minimum balance

You can open an account with a $10 first deposit and keep any balance after that.

A lower fee with monthly deposits

A $200 monthly recurring deposit gets you the 0.25% rate at any balance, so you skip the $5 flat fee.

CFP planners on Premium

Premium gives you calls with a team of salaried CFP professionals who act as fiduciaries.

High FDIC coverage on cash

Cash Reserve spreads your money across program banks for up to $8 million of FDIC coverage on a joint account, or $4 million for one owner.

Betterment cons

$5 a month on small balances

Without monthly deposits, $60 a year is 6% of a $1,000 balance and 1.2% of $5,000.

Some portfolio cash earns no interest

Since May 2026, managed taxable, HSA, and IRA portfolios hold a small slice of cash that pays no interest, and the banks that hold it pay Betterment.

No IRA match

Betterment pays no match on IRA contributions. SoFi and Robinhood both do.

$75 to move each account

Moving a taxable account and two IRAs to another firm costs $225.

Automated investing

Automated investing is Betterment's robo-advisor, which builds an ETF portfolio for your goal, rebalances it, and runs tax-loss harvesting in taxable accounts. Since May 2026, managed taxable, HSA, and IRA portfolios also hold a small cash allocation that earns no interest. Betterment doesn't charge its fee on that cash, and its filings don't say how big the slice is.

Betterment added Custom Portfolios in July 2026. You pick the stocks and ETFs, Betterment manages them, and the fee is the same 0.25% as its other managed accounts.

Self-directed investing

Self-directed investing lets you buy stocks and ETFs yourself with no commissions, and Betterment doesn't charge its management fee on it. It counts toward the $24,000 line but not toward Premium's $100,000.

Cash Reserve

Cash Reserve paid a 3.50% variable APY as of September 21, 2026, through program banks, with a $10 minimum deposit.³ New clients get 0.75% more on up to $1 million through February 15, 2027, and Premium clients get 0.25% more. Our best high-yield savings accounts roundup compares bank rates.

Betterment Checking, a separate account, reimburses ATM and foreign transaction fees and charges no overdraft fees.

Betterment Premium

Betterment Premium costs 0.65% a year and gives you calls with a small group of CFP professionals who work together, not one dedicated advisor.⁴ The planners are salaried, never paid on commission, and act as fiduciaries. They'll advise on accounts outside Betterment, but they aren't CPAs and can't file your taxes.

Premium also includes priority support, the Cash Reserve boost, a securities-backed line of credit, and 20% off estate planning with Trust & Will. You can move back to Digital at any time.

Is Betterment Digital worth it?

Betterment Digital is worth it if you'll keep a $200 monthly deposit going or already have $24,000 to invest, because you'll then pay 0.25% like Wealthfront. If you'll fund it once and leave it under $24,000, the flat $60 a year costs more.

Is Betterment Premium worth it?

Betterment Premium is worth it if you'll use the planners each year, because it costs $400 more than Digital for every $100,000, up to $4,000 a year. That's less than a 1% adviser and less than Empower at the same balance, but you get a team, not one adviser, and no tax filing. Our Facet review covers a flat-fee planner, and Facet alternatives lists other planner options.

Betterment vs Wealthfront

Wealthfront costs less than Betterment under $24,000 if you don't deposit monthly, and it charges $0 to transfer out. Betterment adds a planner tier that Wealthfront doesn't have. Our Betterment vs Wealthfront page compares them in full, and the Wealthfront review covers its cash account.

Betterment vs Schwab

Schwab Intelligent Portfolios charges no management fee from $5,000, so it costs less than Betterment at any balance above that. Betterment has no $5,000 minimum. Schwab offers tax-loss harvesting only from $50,000, and you have to turn it on; our best robo-advisors roundup compares both.

Betterment Premium vs Empower

At $500,000, Betterment Premium costs $3,250 a year and Empower's 0.89% costs $4,450. Empower gives you an advisor team from $100,000 and a dedicated advisor from $250,000. Our Empower review covers its tiers.

To see what a fee costs by retirement, run the Tweed retirement calculator with your return lowered by the fee you'd pay. The best robo-advisors roundup puts the robo fees side by side.