Betterment

What is Betterment?

Betterment is a robo-advisor platform that manages investment portfolios automatically. According to the company's documentation, the service is goal-based: users set financial objectives and Betterment builds and rebalances a diversified portfolio of exchange-traded funds (ETFs) accordingly. The platform also includes tax-loss harvesting, which sells losing positions to offset taxable gains.

Betterment operates two pricing tiers for individual investors. The base Digital plan costs a flat monthly fee, while eligible accounts automatically switch to an annual percentage fee. There is no minimum balance required for the Digital plan. Premium, a higher tier, charges a larger annual advisory fee and requires a minimum eligible investment balance of $100,000.

Who is Betterment for?

The Digital plan is suited for investors who want automated portfolio management with no minimum investment and a simple fee structure. The flat monthly fee appeals to those with smaller balances, while the percentage fee becomes more economical as the account grows. Users who set up recurring monthly deposits of at least $200 or maintain a balance of $24,000 or more are moved to the percentage-based pricing.

Premium targets investors with larger portfolios who want access to a team of financial advisors in addition to the automated features. According to the pricing page, accounts with balances over $1 million receive progressive fee discounts on portions above that threshold.

• Smaller accounts benefit from the flat $5/month Digital fee.
• Growing accounts with regular deposits or balances above $24,000 pay 0.25% per year.
• High-net-worth investors ($100,000+) can opt for Premium at 0.65% per year.

How much does Betterment cost?

As of July 2026, the verified fee structure is as follows. The base price for investing accounts is $5 per month. Accounts automatically switch to an annual fee of 0.25% on the investing balance when the user sets up recurring monthly deposits or transfers totaling at least $200, or when the balance reaches $24,000 or more. There is no minimum balance for the $5/month Digital plan.

Premium carries a 0.65% advisory fee and requires a minimum eligible investment balance of $100,000. Balances over $1 million receive progressive discounts: 0.15% on the portion from $1 million to $2 million, and 0.10% on the portion above $2 million.

Betterment Securities charges a flat $75 for each outbound investing account transfer. There is no fee to withdraw money to a linked checking account.