Wealthfront
Wealthfront charges a flat 0.25% annual advisory fee with a $500 minimum, and is known for aggressive, automated tax-loss harvesting. For hands-off investors who want a low, predictable fee and strong tax optimization, it's a top choice — pricing verified on Wealthfront's own page.
Is the Wealthfront worth it?
Wealthfront is Betterment’s closest rival, and it matches the headline number: a flat 0.25% annual advisory fee. The difference is the on-ramp — Wealthfront requires a $500 minimum to start automated investing, versus $0 at Betterment — and its reputation for aggressive, fully automated tax-loss harvesting, which it argues can offset the fee for many taxable-account clients.
Like any robo, it is an investing account, not a bank account: the Automated Investing Account carries SIPC protection for securities, not FDIC insurance, and the advisory fee sits on top of the underlying ETFs’ expenses.
The choice between Wealthfront and Betterment often comes down to the minimum and which extra features you’ll use. If you can clear $500 and value tax optimization, Wealthfront is excellent; if you want to start with nothing, Betterment edges it. Fees can change; this is not financial advice. Confirm current pricing before investing.
How does a robo-advisor work?
A robo-advisor builds and automatically rebalances a diversified portfolio of low-cost funds based on your goals and risk tolerance. You pay an annual management fee, quoted as a percentage of your balance. Investments are not FDIC-insured and can lose value.
What are the pros and cons of the Wealthfront?
The Wealthfront stands out for flat 0.25% annual advisory fee, though $500 minimum (vs. $0 at some competitors).
- Flat 0.25% annual advisory fee
- Strong automated tax-loss harvesting
- Low $500 minimum to start automated investing
- $500 minimum (vs. $0 at some competitors)
- Advisory fee is on top of underlying fund expenses
- Not FDIC-insured (investing accounts carry SIPC protection)
Who should get the Wealthfront?
The Wealthfront is best for hands-off investors who want low, predictable pricing.
- Hands-off investors who want low, predictable pricing
- People in taxable accounts who value tax-loss harvesting
- Investors comfortable with a $500 starting minimum
How does the Wealthfront compare?
Among the 6 robo-advisors we track, the Wealthfront ranks #4 with a money8020 score of 85/100.
| Product | Score | Tier | Provider |
|---|---|---|---|
| Fidelity Go® | 99 | Essential | Fidelity |
| Vanguard Digital Advisor | 97 | Essential | The Vanguard Group |
| Betterment | 94 | Essential | Betterment |
| Wealthfront | 85 | Strong | Wealthfront |
| SoFi Robo Investing | 84 | Strong | SoFi |
See all robo-advisors, ranked →
Common mistakes to avoid with a robo-advisor
- Reacting to market dips by pulling out — the strategy depends on staying invested.
- Overlooking fund expense ratios that stack on top of the management fee.
- Expecting FDIC protection — investments can lose value.
- Picking on fee alone without checking tax-loss harvesting and planning features.
Key takeaways
- Wealthfront earns a money8020 score of 85/100, ranking #4 of 6 robo-advisors.
- Flat 0.25% annual advisory fee
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- Best for hands-off investors who want low, predictable pricing.
- Rate and FDIC status fetched from Wealthfront and corroborated against a regulator.
Frequently asked questions about the Wealthfront
How much does Wealthfront charge?
Per Wealthfront, the Automated Investing Account has a flat 0.25% annual advisory fee, with a $500 minimum to start. Underlying ETF expenses are separate. Wealthfront notes its tax-loss harvesting can, for many clients, offset the advisory fee over time.
Is Wealthfront FDIC insured?
Investing accounts are not FDIC-insured. Wealthfront's Automated Investing Account carries SIPC protection for securities if the firm fails. Wealthfront's separate Cash Account sweeps to FDIC-insured program banks, but invested portfolios are not FDIC-insured.
Is money in the Wealthfront insured?
Investments are not FDIC-insured and can lose value. Brokerage assets are typically SIPC-protected if the firm fails, but SIPC does not cover investment losses.
Can I lose money with the Wealthfront?
Yes. A robo-advisor invests in market securities, so your balance rises and falls with the markets. It suits goals where you can stay invested through ups and downs.
Sources
We fetched these figures from the provider and corroborated them against a regulator, last checked May 30, 2026. Primary sources: