Here's a comprehensive overview of the best retirement planning tools, tailored to different stages of your journey. From free budgeting apps to advanced robo-advisors, these platforms offer a range of features to help you secure your financial future.
Best Overall: Fidelity
Fidelity is a powerhouse in the financial services industry, offering a wide array of investment options and retirement planning tools. Here's why it's a top choice:
- No Commission Fees: Stock, ETF, and options trades are commission-free, and over 3,400 mutual funds have zero transaction fees.
- Fidelity Go®: A robo-advisor with no minimum deposit, offering zero advisory fees for balances under $25,000. It provides tax-loss harvesting and access to human advisors for personalized guidance.
- Comprehensive Educational Resources: Extensive tools and research from 20+ independent providers empower you to make informed investment decisions.
- Multiple Investment Vehicles: Traditional, Roth, and Rollover IRAs, brokerage accounts, and various investment options like stocks, bonds, ETFs, and mutual funds.
- Customer Service and Accessibility: 24/7 support, over 100 brick-and-mortar branches, and a Planning & Guidance Center for retirement readiness assessments.
Pros:
- No commission fees for stock, ETF, and options trades.
- No transaction fees for over 3,400 mutual funds.
- Fidelity Go® portfolios use zero-expense ratio mutual funds.
- Human advisors available for day-to-day portfolio decisions.
- Unlimited 30-minute coaching calls with a Fidelity advisor for accounts over $25,000.
- Tax-loss harvesting on taxable accounts.
- Extensive educational resources.
- 24/7 customer service.
- Over 100 branches for face-to-face support.
Cons:
- 0.35% advisory fee for balances over $25,000.
- Limited investment options in Fidelity Go®.
- No socially responsible or ESG portfolio option.
Best for Getting Started: SoFi
SoFi Invest is designed to make retirement investing accessible and straightforward.
- No Minimum Deposit: No account minimum for active or automated investing, and $5 for fractional shares.
- Commission-Free Trading: Zero commission fees for stocks, ETFs, and options.
- Robo-Advisor: A self-directed account or a robo-advisor with a 0.25% annual fee.
- IRA Options: Traditional, Roth, and SEP IRAs with a 1% match on eligible IRA contributions.
- Financial Planning: Access to certified financial planners at no extra cost.
Pros:
- No minimum deposit for active, automated investing, and IPO participation.
- Ability to purchase fractional shares and participate in IPOs.
- Commission-free trading on stocks, ETFs, and options.
- No management fees for automated investing.
- Access to certified financial planners at no extra cost.
Cons:
- Minimums required for fractional shares.
- Exchange and fund management fees may apply.
- Annual inactivity fee of $25 (waived if logged in at least once every six months).
Best for Set-It-and-Forget-It Investing: Betterment
Betterment is ideal for those who prefer a hands-off approach to retirement planning.
- Robo-Advisor: Builds and rebalances a diversified portfolio based on your goals and risk tolerance.
- No Account Minimum: No minimum deposit or balance requirements.
- Automated Investing: Fees vary, but the base price is $5/month, switching to 0.25% annually once you reach $24,000 in total balance.
- Advanced Features: Automatic rebalancing, tax-loss harvesting, and socially responsible investing.
Pros:
- No trade or transfer fees.
- Automated investing with portfolios tailored to your goals and risk tolerance.
- Assign specific goals to each portfolio and invest using different strategies.
- Quick and easy account setup with external account syncing.
- Advanced features like automatic rebalancing and tax-loss harvesting.
Cons:
- $5/month fee for investing accounts, switching to 0.25% annually.
- Premium plan requires a $100,000 minimum balance.
Best for a Complete Retirement Roadmap: Boldin
Boldin offers a comprehensive browser-based retirement planning platform.
- Free Version: Enough to assess your retirement readiness.
- PlannerPlus: Adds advanced features like Monte Carlo analysis, tax projections, and Roth conversion modeling.
- User-Friendly: Categorizes expenses, tracks spending, and sets income and expenses.
- Account Linking: Connects to bank, investment, and loan accounts.
Pros:
- Free version provides a solid foundation for retirement planning.
- PlannerPlus offers detailed tax and Roth conversion modeling.
Cons:
- No dedicated mobile app.
- Account linking and advanced features are locked behind the paid tier.
Best Free Money Tracker: Empower
Empower is a user-friendly budgeting app with retirement planning features.
- Free to Use: Tracks spending, wealth, and net worth.
- Account Linking: Syncs with bank, credit cards, IRAs, 401(k)s, mortgages, and loans.
- Retirement Planner: Models retirement scenarios and Social Security impact.
- Fee Analyzer: Helps identify investment fees.
- Investment Checkup: Assesses portfolio risk and allocation.
Pros:
- Free to use with a money-tracking dashboard and net-worth tracker.
- Syncs with various financial accounts.
- The Currency blog offers financial planning tips.
- Security features include data encryption, fraud protection, and strong user authentication.
Cons:
- Budgeting features may be limited compared to other apps.
- Investment management services come with costs.
Best for Combining Retirement Planning and Banking: Charles Schwab
Schwab Bank's Investor Checking account seamlessly integrates banking and retirement planning.
- No Monthly Fee: No monthly fee or account minimum.
- No Foreign Transaction Fees: Reimburses ATM fees worldwide.
- Retirement Planning Tools: Access to Schwab's planning tools and IRA options.
- Cash Management: Easy cash transfers between checking and brokerage accounts.
Pros:
- No monthly fee or account minimum.
- No foreign transaction fees.
- Reimburses ATM fees worldwide.
- Access to retirement planning tools and IRA options.
Best for Uncovering Money to Put Towards Retirement: Rocket Money
Rocket Money helps you identify and cancel unwanted subscriptions and bills.
- Free Version: Tracks spending, subscriptions, and bills.
- Premium Plan: Adds subscription cancellation, Financial Goals, and other budgeting tools.
- Bill Negotiation: Tries to lower eligible bills, charging a fee based on savings.
- Security: Uses Plaid API and bank-level encryption.
Pros:
- Easily view and cancel unwanted subscriptions.
- Free version available.
- A+ rating from the Better Business Bureau.
Cons:
- Non-refundable bill negotiation fee can be up to 60% of savings.
- Premium pricing varies.
