You’ve probably heard a lot about why you need to invest, and maybe even thought about contributing to a work-sponsored retirement account. But in our current economic climate, more and more people are moving away from traditional forms of employment and carving out a work-life balance for themselves by freelancing or working remotely. In this case, people may struggle with how to invest in their retirement, since an employer-sponsored 401(k) is likely not in the cards. Luckily, there’s a simple solution to that potential problem.

Apps like Acorns allow anyone to invest their money, using your spare change. Acorns is one of many top investing apps that does this, but there are some big reasons why Acorns is a great option for someone who simply wants to dip their toe in the investing waters, while saving a significant chunk for retirement.

Pros of Acorns App

If you aren’t  sure what your risk tolerance is, that’s ok. Acorns asks you a few simple questions to see why you’re investing. Are you planning long term? Are you looking to make a big purchase, like a home, in the near future? Based on these answers, it will recommend a diversified portfolio for you, utilizing six ETFs from different asset classes. If you feel like you want to be more conservative or aggressive, you have the power to change your portfolio and do that as well.

The small investment to start is also a pro as well, a it only costs $5 to open your account. From there, you’ll link one of your accounts, and it will invest your change. If you spent $25.75 on groceries, Acorns will take the remaining $0.25 and invest it for you. Don’t worry though — you’ll also have a chance to cancel a “round up” before the money is withdrawn.

Acorns also has a Found Money feature, which gives you cash back options for purchases with their affiliates. This includes companies from ProFlowers to Casper mattresses to Blue Apron, so you can save money no matter what you’re shopping for.

Did I mention you can withdraw your money if need be as well? That’s right, it’s not locked into your account.

Cons of Acorns App

As with any investment system, there are fees associated with using Acorns, they’re fairly small though. If you’re not a college student, then you’ll pay $1/month for Acorns to manage your money, and for accounts over $5,000, it’s a 0.25% fee. That’s still a pretty small fee to invest in a brokerage-type account though.

Another con is that when your account reaches a certain threshold, you’ll likely need to consult a tax professional to see if you have to pay any taxes on your capital gains. Depending on how much you invested and how much you made, you may need to pay taxes, and Acorns does not offer resources to help you figure that out.

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