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Because Roth IRA tax advantages, contribution limits and income limits are the same no matter where you open a retirement account, take note of the IRA custodian — whether it be a bank, broker or other IRS-approved entity. It’s the custodian that dictates the types of fees you’ll pay, the investments you can choose from and the features you can leverage.
Finder’s analysis of 19 US brokers identified the best places to open a Roth IRA in 2023. Below is a curated list of the eight best online Roth IRA accounts of 2023 and where they shine brightest, according to Finder’s analysis.
We observe and uphold strict editorial independence to ensure our content, reviews and ratings are fair, accurate and trustworthy. Our editorial content is not influenced by advertisers, partners or other business interests. We apply our subject matter expertise and insights to the development of data-driven methodologies, which we use to evaluate financial products and companies. This ensures all are measured equally and without bias. Our editorial guidelines are available for you to explore further and you can read about our specific investing methodology below.
18 brokers reviewed
137 data points analyzed
8 categories considered
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1. Fidelity Investments – Best overall
Fidelity IRA
Finder score: 4.6 / 5★★★★★
Fidelity's a full-service broker that's kept up with the times. It offers not only an extensive lineup of investment options and the top-tier research tools and trading platforms that you'd expect to find with a leading broker but also the modern features that have made investing so much more accessible in recent years — things like fractional shares, $0 trading commissions and some of the lowest back-end account fees in the industry. Meanwhile, Fidelity offers industry-leading planning and advice resources, including both human and robo-advisor portfolio management services.
Fidelity caters to investors of all backgrounds, with over 42 million individual investors and over $11 trillion in assets under management. Fidelity is a powerhouse in the brokerage space, and its focus on providing a well-rounded trading and investing experience makes it the best overall broker to open an IRA according to Finder's analysis.
Other winning categories: Best for beginners, Best for without fees
Pros
$0 commissions on stocks and ETFs and virtually no account fees
Wide range of investment options
Large selection of top-tier research providers
24/7 customer support
Cons
$25,000 minimum to access a Fidelity financial advisor
The Fidelity Active Trader Pro desktop platform interface looks and feels antiquated
SoFi Invest is one of the only brokers in the industry that offers unlimited, complimentary access to certified financial planners, a service that can cost you several hundred dollars a session. As a SoFi customer, these consultations come at no additional cost.
Connect with a SoFi financial planner and discuss anything from investment strategies to paying off debt to tax planning. Meanwhile, its robo-advisor is available with no management fees — another industry rarity. Trade stocks, ETFs, options and crypto with a broker that makes investing approachable and professional financial guidance accessible.
Pros
Free robo-advisor
Complimentary access to SoFi's certified financial planners
$0 commissions on stocks, options and ETFs
No investment minimum
Cons
Limited investment options
$25 inactivity fee
Retirement account types
Roth, Traditional, SEP, Rollover
Available asset types
Stocks, ETFs
Minimum deposit
$0
Signup bonus
Get up to $1,000 in stock when you fund a new account within 30 days.
Stock trade fee
$0
Minimum deposit
$0
Signup bonus
Get up to $1,000 in stock when you fund a new account within 30 days.
Robinhood's launch of its IRA matching contributions is yet another innovative product that keeps it steps ahead of other brokers. Earn up to a 3% match on annual contributions with Robinhood Gold — or 1% without — while all IRA transfers and 401(k) rollovers earn 1%, with no cap.
All this on top of fractional share trading, 100% commission-free trades, instant deposits and a user-friendly platform that makes investing a breeze. Robinhood has lots to offer investors looking to build a retirement portfolio, and it'll reward you for making the move.
Pros
Earn up to a 3% match on annual contributions
Earn 1% on all IRA transfers and 401(k) rollovers
Commission-free trading
24/7 customer support
Cons
Limited advanced tools unless you upgrade to Robinhood Gold
No robo-advisor
Retirement account types
Roth, Traditional
Available asset types
Stocks, Options, ETFs
Annual fee
0%
Minimum deposit
$0
Signup bonus
Get free stock when you successfully sign up and link your bank account.
Stock trade fee
$0
Minimum deposit
$0
Signup bonus
Get free stock when you successfully sign up and link your bank account.
Designed primarily for derivatives trading, tastytrade boasts an impressive collection of trading products in its IRAs and some of the best pricing on options and futures contracts in the industry. Stocks and ETFs are commission-free, options have no closing commissions and its trading platforms are powerful, with advanced trading, research and analysis tools, including profit and loss visualizations and a quick roll feature to roll your option position into the future.
Meanwhile, tastytrade offers a comprehensive learning center with video and live demos to help you level up your trading.
Pros
Highly customizable trading platform
Extensive lineup of tradable derivative assets
Competitive options fee structure
Helpful educational resources and live programming
In addition to receiving high marks from both Apple and Android users, Interactive Brokers' (IBKR) main mobile trading platform, IBKR Mobile, offers the powerful trading tools that many brokers reserve for their web and desktop trading platforms. These include advanced, interactive charts with over 90 indicators, analyst ratings and price targets, earnings estimates, company financials and more. In other words, there's little you can't do with IBKR Mobile. What's more, Interactive Brokers offers the more beginner-friendly IBKR GlobalTrader and IMPACT mobile trading platforms for those looking for a more simplified investing experience.
IBKR Mobile is the most feature-rich mobile platform according to Finder's analysis, while IBKR GlobalTrader is a solid option for beginners. Tack on its wide range of investment options, low trading costs and access to global markets and you can see why IBKR is not only the best IRA for mobile trading but also one of the best brokerage accounts on the market.
Other winning categories: Best for international trading
Pros
Three mobile trading platforms, including the versatile IBKR Mobile and the beginner-friendly IBKR GlobalTrader
One of the most trusted names in the industry, Vanguard's history dates back to when it launched its first mutual fund back in 1929. Today, Vanguard stands out for its vast low-cost fund collection that keep long-term investors sticking around.
With its unique investor-owned model, Vanguard fund owners get more than a collection of index funds, actively managed funds, target retirement funds and environmental, social and corporate governance-focused funds. Owning these funds means you own Vanguard.
Pros
Vast collection of low-cost mutual funds
Commission-free ETFs
Access to more than 160 no-transaction-fee mutual funds from Vanguard and other companies.
'You can't trade crypto in our IRAs.' That's a limitation we see all too often with most brokers we review. TradeStation fills that void, offering not only stocks, ETFs, options and futures trading in its IRAs but also crypto.
Choose between its traditional, Roth, SEP and SIMPLE IRAs, and invest in bitcoin (BTC), ether (ETH) or USD Stablecoin (USDC). And customer support's standing by 24/7, should you need them.
Minors and young adults needn't look further than E-Trade to get started investing for the later years in life. Pioneer of online trading, E-Trade offers one of the most diverse lineups of IRA account types among brokers we review. Six IRA types in total, including IRAs for minors.
While an adult is required to manage the account, E-Trade's IRA for minors offers traditional and Roth IRAs for children under 18 years old with earned income. No annual IRA fees, no account minimums, just access to a wide range of investment choices, including commission-free stocks, options and ETFs. Tack on its robo-advisor, Core Portfolios, for a straightforward, automated portfolio option.
Pros
IRAs for minors
No annual IRA fees
No account minimums
Wide range of tradable assets
Robo-advisor
Cons
No company financials like balance sheet or income statement
No fractional share investing
Retirement account types
Roth, Traditional, Rollover, Beneficiary Traditional, IRA for minors
Sometimes a big broker like Charles Schwab is exactly what you need. Newcomer investing apps may have the edge in terms of offering a more enhanced user experience, but traditional brokers like Schwab sweep the floor with these apps when it comes to the breadth of investment options, access to expert guidance and, for self-guided investors, extensiveness of research tools.
There's Schwab Equity Ratings, MSCI ESG ratings, Morningstar ratings, Thomson Reuters ratings, CFRA ratings, Argus ratings and MarketEdge ratings. There's premium analyst reports, screeners, market news and stock lists. There's dividend history and growth statistics, expected and historical earnings information, a peer and ratios comparison, detailed company financials and time-saving technical analysis summaries. In other worse, an IRA with one of the nation's largest investment services firms may just be what you need if research plays a big role in your investment strategy.
Pros
Access to premium third-party research
Equity ratings, earnings information and technical analysis summaries
Methodology: How we choose the best Roth IRA accounts
Finder’s investments experts review 19 brokers available on the market to narrow down the best Roth IRAs for trading and investing.
We analyze each platform based on 147 key metrics we collect directly from brokers and assess each provider’s performance based on eight different categories, weighing each metric based on the expertise and insights of Finder’s investment experts. We then score and rank each provider depending on how it performs in each category.
Investment options
Trading platforms
Trading costs
Account fees
Account types
Customer support
Mobile app reviews
Features
21%
12%
9%
13%
5%
7%
8%
25%
We update our best picks as products change, disappear or emerge in the market. We also regularly review and revise our selections to ensure our best provider lists reflect the most competitive available.
What Bob thinks about where to hold your Roth IRA:
When choosing where to hold your Roth IRA, one thing you might consider is whether you want to invest in mutual funds. You can generally only buy a mutual fund from its home provider – at least if you want to avoid fees. For example, Fidelity's FZROX is a total stock market mutual fund with a 0.00% expense ratio. If you want to buy this fund, you buy it directly from Fidelity. The same is true for other popular mutual funds.
— Bob Haegele, Personal finance writer and expert
What should you look for when choosing the best Roth IRA accounts?
Finder’s picks for the best Roth IRA accounts are meant to provide you with a starting point for finding the right broker for you. That said, it’s important to consider your personal preference and individual investing goals too.
Consider the following factors when comparing your options:
Fees. From trading fees to miscellaneous fees, it’s important to understand the cost to trade and invest. Consider which investment products you plan to trade and the fees that apply, but also be mindful of any back-end fees, such as inactivity or transfer fees, that can also eat into your profit. Tradable assets. Not every IRA custodian offers the same investment options in an IRA as it does in an individual brokerage account. Stocks and ETFs are standard, but what if you want to expand into options, mutual funds or bonds? Account types. What other account types, in addition to IRAs, does the custodian offer? Consider your other investment needs and how important it is to maintain all your accounts under one roof. Research and data tools. In-house research and tools simplify investing, as you don’t have to venture elsewhere to make an informed decision about an investment. If you’re a passive index investor, extensive research and analysis tools may not matter all that much. Active stock pickers may feel otherwise. Mobile app reviews. Mobile trading is more popular than ever, allowing you to trade and invest from anywhere. Check out what current or previous customers say about the platform’s functionality. Signup bonus. While it may not make sense to choose an IRA custodian solely based on whether or not they offer a signup bonus, a new customer incentive such as a free stock may be enough to help you choose one over another if all else is equal.
How to choose a Roth IRA account?
Since a Roth IRA is a type of account, focus on the custodian itself to determine if it’s the right fit for you. Consider the type of investor you are and your strategy, the features you want in an investment platform and the costs of trading and having an account. In general, the best Roth IRA accounts offer diverse investment options, robust retirement planning tools and little-to-no fees.
Roth IRAs vs. traditional IRAs: What’s the difference?
Before you choose, you may want to give some thought to what the differences between traditional and Roth IRAs are. The main difference is how they’re taxed: Contributions to traditional IRAs are tax-deductible, but distributions are taxed. Roth IRAs allow tax-free distributions, but you’ll pay taxes on your contributions and not distributions. If you’re saving and building up gains in the account for a long time, a Roth may give you more in the end.
FAQs
The best kind of Roth IRA to open depends on the specific IRA custodian, what it offers and whether it aligns with what you're looking for in an investment platform. Each IRA provider has different benefits and drawbacks, so choosing which Roth IRA is best is ultimately personal.
If you're a new hands-off investor who wants both self-directed and automated investing options, an IRA with SoFi might be the way to go. If you're an experienced trader looking for the most robust trading tools and features, an IRA with TD Ameritrade or E-Trade might be most suitable.
If you're a beginner looking to open a Roth IRA, platforms like SoFi and Robinhood make it incredibly easy to start investing and may be the best platforms with which to start a Roth IRA. Meanwhile, big-broker platforms like TD Ameritrade, E-Trade and Vanguard offer the most flexibility in terms of investment options and trading tools.
A Fidelity Roth IRA is a great choice if you want an account with one of the largest US brokerage firms, with low fees and access to a range of investment options.
The best investments to put in your Roth IRA depend on your investment strategy, goals and risk tolerance. If you're comfortable taking on more risk, individual stocks give you direct ownership in companies. If you like the idea of investing in stocks but want to easily diversify your portfolio, consider adding ETFs to your Roth IRA.
More conservative investments include US Treasuries, municipal bonds, money market funds, low-risk dividend-yield stocks, CDs, mutual funds and other index funds.
This IRS rule stipulates that you must participate in your Roth IRA for at least five years before you can withdraw your money tax-free. If you take a distribution before this time period, you'll have to include the distribution as income when you file your taxes.
How much a Roth IRA will grow in 20 years depends on the initial balance, ongoing contributions and the types of investments in your account.
A better option than a Roth IRA might be a traditional IRA if you want upfront tax benefits in the form of tax deductions and you expect to be in a lower income tax bracket in retirement, which is when you'll pay taxes on your withdrawals.
Matt Miczulski is an investments editor at Finder. With over 450 bylines, Matt dissects and reviews brokers and investing platforms to expose perks and pain points, explores investment products and concepts and covers market news, making investing more accessible and helping readers to make informed financial decisions.
Before joining Finder in 2021, Matt covered everything from finance news and banking to debt and travel for FinanceBuzz. His expertise and analysis on investing and other financial topics has been featured on CBS, MSN, Best Company and Consolidated Credit, among others. Matt holds a BA in history from William Paterson University.
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