Quick Summary
- The primary product is a Junior Roth IRA, which allows you to save in a tax-advantaged 529 and eventually roll it over into a Roth IRA.
- Sidecar investing adds savings flexibility alongside tax-advantaged accounts
- Management fees from 0.20% to 0.25%
Pros
Cons
FutureMoney started as a fintech platform that helped parents invest for their children’s future as early as possible. However, since launching, it’s grown into a much broader family investing platform. Today, it offers multiple account types, automated investing, tax-advantaged savings, and tools designed to help families build generational wealth.
While its Junior Roth IRA remains a flagship product, FutureMoney now supports everything from traditional retirement accounts to custodial Roth IRAs, 529 Plans, and the new Trump Accounts (530A). In this review, we take a look at how it all works so you can decide if FutureMoney is right for you.
Table of Contents
What Is FutureMoney?What Does It Offer?Are There Any Fees?How Does FutureMoney Compare?How Do I Open An Account?Is It Safe And Secure?How Do I Contact FutureMoney?Is It Worth It?
What Is FutureMoney?
FutureMoney is a tax-advantaged investing platform designed to help families build generational wealth. Founded by financial industry veterans in January 2023, the Boston-based fintech aims to give parents peace of mind by providing them with a tool to help their kids work toward financial security. The platform offers managed portfolios and automated deposits to turn wealth building into a regular habit.
Caption of the FutureMoney Homepage. Source: The College Investor
What Does It Offer?
FutureMoney has expanded its product lineup over the past couple of years. Here’s a closer look at its key features:
Junior Roth IRA
The Junior Roth IRA remains FutureMoney’s signature product. Unlike a custodial Roth IRA, the Junior Roth IRA doesn’t require your child to have earned income. Instead, it uses a 529 Plan structure that can potentially be rolled into a Roth IRA after meeting IRS requirements. This way, families can begin saving for retirement from birth.
According to FutureMoney, parents can contribute up to the applicable lifetime rollover limits while investments grow tax-free inside the account. FutureMoney automatically manages the portfolio using diversified ETFs, and you can invest as little as $1 at a time through regular contributions.
Custodial Roth IRA
FutureMoney has introduced a traditional Custodial Roth IRA for children who earn legitimate income. It allows parents to establish IRS-compliant household employment so children can contribute earned income to a Roth IRA while building retirement savings from a very early age. FutureMoney can also help with payroll documentation and tax reporting, streamlining what can otherwise be a complicated process.
Trump Account (530A)
One of FutureMoney’s newest features is support for Trump Accounts (also known as 530A accounts). These accounts are designed for eligible children born between 2025 and 2028. They allow qualifying newborns to receive the federal government’s $1,000 seed contribution. With FutureMoney, you can manage these accounts alongside the rest of your family’s investments through the same app.
Sidecar Investing
Sidecar is a flexible taxable investment account that works alongside a child’s Trump account. It allows families to save for goals that don’t fit inside a tax-advantaged retirement or education account. It also gives you more control over when you withdraw money. For example, you can choose whether to take money from the Sidecar account or the Trump account first, in order to lower the taxes you pay over time.
Are There Any Fees?
When it comes to pricing, FutureMoney offers multiple membership tiers. All users can start with the free Starter plan. From there, families with less than $20,000 invested generally pay either a flat subscription fee (with income-based discounts) or can upgrade to one of FutureMoney’s premium plans. Here’s how the income-based pricing works for the starter plan:
|
Annual Income |
Annual Fee |
|---|---|
|
<$30,000 |
Free |
|
$30,000 to $50,000 |
$24/year |
|
$50,000+ |
$48/year |
Families with more than $20,000 invested typically pay an annual management fee based on a percentage of assets, with fees ranging from 0.20% to 0.25%. FutureMoney has introduced the following premium memberships that come with additional features:
|
FutureMoney Pro |
FutureMoney Generations |
|---|---|
|
Management fee: 0.25% |
Management Fee: 0.20% |
|
Roth IRA |
Roth IRA |
|
Traditional IRA |
Traditional IRA |
|
General Investing |
General Investing |
|
529 Accounts |
529 Accounts |
|
Generational Wealth |
Generational Wealth |
|
Custodial Roth IRA |
|
|
Household A |
|
|
Family Payroll |
|
|
Child Tax Reporting |
|
|
Video call with Advisor |
How Does FutureMoney Compare?
It’s important to note that FutureMoney is not a self-directed online brokerage. Account holders can invest in fully managed portfolios, but they don’t have the option of buying individual stocks or exchange-traded funds (ETFs).
If you are looking for a fully self-directed option, Robinhood is an online brokerage offering a wide range of investments at a low cost. You can trade individual stocks and ETFs commission-free. However, unlike FutureMoney, it does not offer a 529 Plan account option, only taxable brokerage accounts and IRAs (traditional and Roth).
SoFi Invest is similar to Robinhood in that it offers a fully self-directed investing option with zero-commission stock trades. It also supports fractional shares. SoFi Invest also offers managed investing, like FutureMoney. However, unlike FutureMoney, it does not support 529 Plans.
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 |
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|---|---|---|---|
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Rating |
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Pricing |
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Standout Service |
Tax-advantaged investing for kids, Sidecar investing |
Low-cost trades and portfolio management |
Career training and education for college students |
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Account Minimum |
$5 |
$0 |
$0 |
|
Years In Business |
3 |
13 |
15 |
| Cell |
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How Do I Open An Account?
To open an account, download the FutureMoney app. You’ll be asked a few questions about your financial goals and to verify your identity. Accounts can be funded with as little as $5 and take a few minutes to open.
Is It Safe And Secure?
FutureMoney uses industry-standard security, including AES-256 encryption and SOC 2 compliance, to protect its customers’ information. Investment assets are held by SEC-registered custodians, including Alpaca Securities and Altruist.
Investors’ accounts are covered with up to $500,000 of SIPC protection (including up to $250,000 for cash) in the event of a brokerage failure. As with any investment, returns are not guaranteed; SIPC coverage does not protect against market losses. Also, 529 accounts are not covered by SIPC.
How Do I Contact FutureMoney?
Email is the only support option offered on FutureMoney’s support page. If you have a question or need help, you can reach out to support@futuremoney.com.
Customer Service
The FutureMoney app has 4.2 stars on Google Play (53 reviews) and 4.8 stars on the App Store (168 reviews). While there aren’t a huge number of reviews, it indicates a positive user experience overall.
Is It Worth It?
FutureMoney has evolved well beyond its initial product offering, which was mainly the Junior Roth IRA. Today, I would consider it one of the more comprehensive investing platforms designed specifically for families. Its recent additions, including Custodial Roth IRAs, Sidecar investing, and support for Trump accounts, make FutureMoney far more compelling than when we first reviewed it in 2024.
If you’re looking for a simple, hands-off way to help your children build long-term wealth, it’s a solid option. If you want the ability to invest in individual stocks, you’d be better served with a traditional self-directed brokerage account, like Robinhood, SoFi, or something else.
Check out FutureMoney here >>
Editor: Colin Graves
Reviewed by: Robert Farrington
The post FutureMoney Review: A Family Investing Platform appeared first on The College Investor.
