What’s the IRA Match?

The IRA match is an extra 1% match on net contributions made to a Roth or a Traditional IRA between your enrollment date in the offer (the date when you accept the offer by clicking on an email or in-app message) and 12/30/24 up to a maximum contribution amount of $8,000, unless you have an IRS contribution limit that is lower. The match isn’t counted toward your annual contribution limits. The IRA contribution limits set by the IRS for 2024 are: $7,000 if you are under age 50, which means you ...

How is the IRA match calculated?

You will be matched on net contributions made into your Betterment Roth and/or Traditional IRA account between the enrollment date and 12/30/24. The match will be paid out to your IRA on or around 12/31/24. Rollovers are not matched with this offer. EX: You contribute $7,000 and do not make any withdrawals during the offer period. Your net contribution over the offer period is $7,000. You will receive a match of $70, or $210 if you are enrolled in the Premium match. You contribute $7,000 and ...

You’ll earn an extra 1% match on net IRA contributions up to $8,000 between the date you enroll in the offer and 12/30/24, or 3% if you’re enrolled in the Premium match. In order to retain the full value of the match, you will need to hold eligible contributions in your IRA for at least two (2) years after the match pay out date (around 12/31/26), as further explained below. If you receive the extra 3% match, you must maintain an eligible Premium plan for at least 2 years from the date of your ...

Does the IRA match count toward my annual IRA contribution limit?

No. The IRA match is treated as interest in your IRA and doesn’t count toward your annual IRA contribution limit.

When will I receive the IRA match?

You’ll receive the full value of your IRA match on or around 12/31/24. This match will be deposited in proportional amounts to your net contributions into your Roth and Traditional IRA accounts during the offer period. EX: If you only contribute $7,000 to your Roth IRA only, you will receive $70, or $210 if you are enrolled in the Premium match, in the Roth IRA If you contribute $3,500 to your Roth IRA and $3,500 to your Traditional IRA, you will receive $35, or $105 if you are enrolled in the ...

Do I get to keep my IRA match if I withdraw money from my IRA?

Keeping the IRA match after withdrawing funds from your IRA depends on how much you’re withdrawing and how much you’ve contributed to your IRA since receiving the match. As long as you’ve held the matched contributions for at least two years, the IRA match is yours to keep. For example, if you originally contributed $1,000 and received a $10 IRA match on December 31, 2024, you can withdraw all of it (including the match) on or after December 31, 2026. Alternatively, if you withdraw money from ...

Are there fees if I transfer my IRA out of Betterment?

Yes, this transfer would be subject to an early withdrawal fee if the amount you’re transferring meets the criteria above. If you don't have any cash in your IRA, then the early withdrawal fee will show up as a debit at the other firm. If you have cash available in your IRA, the early withdrawal fee will be deducted from your cash balance. ACATS transfers are also subject to a separate fee.

What happens if I earn an IRA match in my traditional IRA but then want to convert it to my Roth IRA?

The IRA match will be treated as taxable income during a conversion and be counted as interest income for tax reporting purposes. Betterment is not a tax advisor. Everyone has a different tax situation and you should consult a tax advisor.

How is the IRA match treated for tax reporting purposes?

The IRA match is treated as interest income in your IRA. We won’t deliver a 1099-INT due to the tax status of IRAs.

Betterment Q4 2024 Ira Match Faq

Offer Details

The IRA match is an extra 1% match on net contributions made to a Roth or a Traditional IRA between your enrollment date in the offer (the date when you accept the offer by clicking on an email or in-app message) and 12/30/24 up to a maximum contribution amount of $8,000, unless you have an IRS contribution limit that is lower. The match isn’t counted toward your annual contribution limits. The IRA contribution limits set by the IRS for 2024 are: $7,000 if you are under age 50, which means you ...
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You will be matched on net contributions made into your Betterment Roth and/or Traditional IRA account between the enrollment date and 12/30/24. The match will be paid out to your IRA on or around 12/31/24. Rollovers are not matched with this offer. EX: You contribute $7,000 and do not make any withdrawals during the offer period. Your net contribution over the offer period is $7,000. You will receive a match of $70, or $210 if you are enrolled in the Premium match. You contribute $7,000 and ...
Read More
You’ll earn an extra 1% match on net IRA contributions up to $8,000 between the date you enroll in the offer and 12/30/24, or 3% if you’re enrolled in the Premium match. In order to retain the full value of the match, you will need to hold eligible contributions in your IRA for at least two (2) years after the match pay out date (around 12/31/26), as further explained below. If you receive the extra 3% match, you must maintain an eligible Premium plan for at least 2 years from the date of your ...
Read More
You’ll receive the full value of your IRA match on or around 12/31/24. This match will be deposited in proportional amounts to your net contributions into your Roth and Traditional IRA accounts during the offer period. EX: If you only contribute $7,000 to your Roth IRA only, you will receive $70, or $210 if you are enrolled in the Premium match, in the Roth IRA If you contribute $3,500 to your Roth IRA and $3,500 to your Traditional IRA, you will receive $35, or $105 if you are enrolled in the ...
Read More
Keeping the IRA match after withdrawing funds from your IRA depends on how much you’re withdrawing and how much you’ve contributed to your IRA since receiving the match. As long as you’ve held the matched contributions for at least two years, the IRA match is yours to keep. For example, if you originally contributed $1,000 and received a $10 IRA match on December 31, 2024, you can withdraw all of it (including the match) on or after December 31, 2026. Alternatively, if you withdraw money from ...
Read More
Yes, this transfer would be subject to an early withdrawal fee if the amount you’re transferring meets the criteria above. If you don't have any cash in your IRA, then the early withdrawal fee will show up as a debit at the other firm. If you have cash available in your IRA, the early withdrawal fee will be deducted from your cash balance. ACATS transfers are also subject to a separate fee.
Read More