Investing Apps for Solo Entrepreneurs

If you’re a solo entrepreneur like me, you’re always on the go. Our biggest asset is our hustle, we win because we work harder than everybody else. Investing takes time and most entrepreneurs don’t have any to spare. The best Robo-Investing apps for entrepreneurs can help you build a nest egg without wasting hours planning your portfolio. These handy mobile apps make it easy to start saving for retirement and they will fit easily into your monthly finances.

If you’re are in your 20s, a few bucks saved today could grow into thousands by the time you’re ready to retire. No matter how old you are, if you haven’t started saving, the best time to start is now. This is even more important for freelancers and solo entrepreneurs because they don’t have a company 401(k) or pension plan to help guide them. They’re responsible for their own financial decisions, so they need to take charge right away to stay ahead.

Why Robo Investing?

These apps are designed to be easy to use and affordable. If you’re an investing novice, it’s a great way to start building a portfolio, and these apps are great for more experienced investors too.

Often times, investors don’t pay enough attention to their portfolios. Robo Investors automatically rebalance user portfolios to ensure they are never overexposed. They offer low fees and, once you set up your profile, it’s pretty much on autopilot.

Today we’re looking at two popular robo investing apps. We’ll examine them both and determine which is the best option for solo entrepreneurs.

Robo Investing

  • Acorns

Account Minimum: None

Management Fees: $1 Per Month

Portfolio Rebalancing: Yes

Overview:

The Acorns app offers an easy way to start saving money for short-term goals and retirement. The app offers a variety of account options. For two dollars per month, users can open a retirement account, like anIRA or Roth IRA, through the Acorns Later program. Throw in another dollar for Acorns Spend and you’ll get a debit card to go along with your investing and retirement accounts.

Features:

Acorns Invest offers five portfolio choices ranging from conservative to aggressive. Each offers a different allocation of government bonds, corporate bonds, stocks, REITs, and more. Acorns consulted with a Nobel Prize-winning economics expert to design each portfolio, and the funds only hold ETFs from credible investment banks like BlackRock and Vanguard,

Keep The Change:

You can set Acorns to round up your debit card purchases and transfer the extra change to your investing account. It’s a great way to build up your savings without even thinking about it. Once your round-ups equal up to $5, Acorns will transfer it into your investment account. Plus, users can set up automatic deposits on a daily, weekly, or monthly basis to make their nest egg grow even faster.

Pros

  • Easy to Get Started

  • User-Friendly

  • No Minimums

  • Cash Management Options

  • Retirement Account Options

  • Automatic Deposits

  • Free Educational Resources

Cons

  • Can’t Buy Individual Stocks or ETFs

  • Only 5 Portfolio Options

  • No Tax Loss Harvesting

If you’re planning to use round-ups or automatic deposits, be careful. Acorns over-drafted my checking account on more than one occasion.

SoFi

  • Social Finance (SoFi)

Account Minimum: $100

Management Fees: $0

Portfolio Rebalancing: Yes

Overview:

SoFi was founded in 2011 and broke into the finance sector making student loans to Ivy League students. Today, its Robo-Advising service, SoFi Wealth, is one of the best options around for freelancers and entrepreneurs. SoFi offers free access to certified financial planners that can help answer all of your investing questions. You can contact your advisor at any time for no extra cost if you have a SoFi Wealth account.

Features:

SoFi Wealth offers users a variety of index ETFs that track major stock market indices, like the Dow Jones Industrial Average and the S&P 500. The types of funds are proven to outperform mutual funds and even high-priced hedge funds over the long run. SoFi’s financial advisors can help gut-check your trading strategies to make sure you’re on track, and your portfolio will rebalance overtime to ensure your allocations remain intact. Asset management is free until your balance hits $10,000, at which point you will have to pay 0.25% of your balance per year, about $25 per year for $10,000.

Goal-Setting Tools:

Users can set custom goals and SoFi will track your progress to help you stay on track. This feature can help you stick to your plans and be a more disciplined saver. It’s a great tool for building good habits and saving to meet your goals.

Retirement Analysis:

SoFi’s retirement analyzer tells users if they are on pace to hit their retirement goals. The easy to use tool will show you if you’re saving enough to meet your goal by the time you call it quits. The app also has IRA account options, including Roth IRA, SEP IRA, and more.

Pros:

  • Free Access to Certified Financial Planners

  • No Fees Up For Accounts Under $10,000

  • Automatic Rebalancing

  • IRA, Roth IRA, and SEP IRA Options

  •  Free for SoFi Loanholders

  • Goal Planning and Retirement Analysis Tools

Cons:

  • Limited Investment Options

  • $100 Account Minimum

  • No Tax-Loss Harvesting

The Best Robo Advisor for Solo Entrepreneurs:

  • Acorns

After a close contest, Acorns App takes the title for the best Robo Advising app for entrepreneurs. Despite having higher fees for smaller accounts, Acorns fees even out as the account balance grows. Rounding up debit card purchases and investing the spare change is a great way to build savings without having to think about. If you set up automatic deposits, your account will grow even faster. For freelancers and entrepreneurs who are preparing for the future, Acorns Later offers a variety of IRAs to help you get started saving. Lastly, solo entrepreneurs like to have constant access to their money, and the Acorns Spend account provides a debit card and cash management account.

Best of all, this app is basically autopilot investing. Set your investor profile to match your risk tolerance and the app does the rest. For busy solo entrepreneurs, Acorns offers a great way to save money without having to think about it. It’s the best option for freelancers or solo entrepreneurs who want to get a beginner’s introduction to investing.

More Investing Options

If you’re a more advanced trader, these options might be too basic for you. You should check out the WeBull App. It offers free trading and two free stocks when you sign up. You can find a full review of the WeBull app here.

Closing Thoughts

Proper investing is highly individualized. Each person has their own set of unique financial circumstances. There are dozens of factors to consider when building a portfolio. There’s no one-size-fits-all solution, but Robo Advisors offer a simple way to start saving. As freelancers and entrepreneurs, no one is going to do it on your behalf. You need to take charge of your own finances if you want to start building long-term wealth.

Chris DiosTechnology
If you’re a solo entrepreneur like me, you’re always on the go. Our biggest asset is our hustle, we win because we work harder than everybody else. Investing takes time and most entrepreneurs don’t have any to spare. The best Robo-Investing apps for entrepreneurs can help you build a...