How can I keep paying the 0.25% management fee if my balance is less than $20,000?

If you are interested in remaining in the Digital 0.25% annual fee pricing structure for your stocks and bonds investing accounts but do not yet meet the $20,000 household balance requirement, you can alternatively set up a recurring deposit of $250/month or more: 

  • Your pricing plan will switch to an annual price of 0.25% ​​(25 bps) of your account balance 
  • The recurring deposit can be into any account, and it can be across multiple accounts as long as the monthly amount totals to $250
  • Qualifying recurring deposits will be totaled across household accounts

The Digital 0.25% annual fee pricing is less than $4 per month while your account balance is below $20,000. For example, if you have a $10,000 account balance with a $250/month recurring deposit, you will pay $25 in fees annually as compared to $48 annually under the $4 per month fee.

To set up a new recurring deposit, click here. To modify an existing recurring deposit, click here. You’ll be able to change the frequency and amount.

You also may qualify for Digital 0.25% annual fee pricing if you are eligible to participate in a Betterment at Work 401(k) plan or maintain a Betterment HSA. 

Alternative Option 

While Betterment’s $4 per month pricing is designed to appropriately reflect the investing services your receive and costs of managing your stock and bond investing account, Betterment also offers a high-yield cash account, Cash Reserve, that does not charge a fee on your Cash Reserve account balance.

  • As of Nov. 7, 2022, the current variable interest rate is 3.20%*
  • For individual Cash Reserve and cash goals: FDIC insurance covers up to $1,000,000† at our program banks
  • For joint Cash Reserve and cash goals: FDIC insurance covers up to $2,000,000† at our program banks
  • Access your cash in 1-2 business days

Please be aware that Cash Reserve funds are not invested in stocks or bonds. If you would like to transfer from an investing goal into a Cash Reserve or cash goal:

From a web browser: Select Transfer or rollover > Transfer within Betterment > choose your desired source account and destination account.

From the mobile app: Select the account you wish to transfer from > Transfer > Transfer within Betterment > select your destination account.

You can initiate up to 5 transfers per day between investing goals and cash accounts that include Cash Reserve and cash goals. Before submitting the transfer, you'll be provided with an estimated availability timeline. These transfers typically take 1-2 business days to complete. You will be provided an estimated tax impact before submitting the transfer.