Today, at the beginning of tax-season, Robinhood Markets, Inc.
(NASDAQ: HOOD) announced that Robinhood Retirement is now available
to all eligible customers. Robinhood Retirement, which launched via
waitlist in December, is the first and only IRA to offer a 1% match
for every eligible dollar contributed.
Since it was first announced, Robinhood has granted access to
more than 1 million people on the retirement waitlist. Many of
these customers are gig economy workers from the likes of DoorDash
and Uber, identify as self-employed, or are looking to save beyond
what’s provided by their employers including Amazon, FedEx,
Walmart, UPS, among others.
“A quiet crisis is brewing – one that faces
this and the next generation,” writes Baiju Bhatt, Robinhood
co-founder and chief creative officer. “Systems are failing to
catch up to the needs of how many people live and save (or don’t)…
We see an opportunity to be a part of the solution, to build
products that adapt to the way work and savings will evolve, and
ensure people have the tools to control their financial future –
just like the way we started.”
With Robinhood Retirement, customers are now able to open
multiple Robinhood brokerage accounts for the first time, and can
immediately start earning a 1% match from Robinhood on every
eligible contribution dollar.* Earnings can grow either tax-free or
tax-deferred, which means customers will save on taxes while saving
for their future – an added tax benefit even if they already have a
401k elsewhere. Customers can also:
- Select their IRA.
Choose to invest in stocks and ETFs through either a traditional
IRA or Roth IRA. To date nearly three quarters of customers have
opted for a Roth IRA over a traditional IRA.
- Invest on their own terms. Build a custom
portfolio through a tailored in-app recommendations experience,
choose their own investments, or both. Since launch, nearly half of
all funded accounts used the recommendations tool to get a custom
- IRA Instant Deposit
- Once a customer contributes, they will have instant
access to their funds to start investing, up to $1,000.
Customers can learn more by visiting robinhood.com/retirement,
or can get started by simply downloading or opening the Robinhood
app, navigating to the retirement tab on the home screen, and
Read more from Co-Founder Baiju Bhatt about the evolving savings
crisis and how it inspired the thinking behind Robinhood Retirement
HERE or BELOW.
One job to pay the bills, one to get ahead
A quiet crisis is brewing – one that faces this and the next
generation. Systems are failing to catch up to the needs of how
many people live and save (or don’t). While it’s most acute in
retirement, planning for the future feels increasingly out of reach
for the modern worker – we believe many are simply being left
For us, it’s a familiar feeling. During the height of Occupy
Wall Street and in the wake of the Great Financial Crisis, we saw
our friends – a younger generation of Americans – feel forgotten by
the financial system. And many Americans, in general, made tough
trade-offs while a financial system healed.
Inherent to our business is listening to customers. This past
summer, we traveled to Cincinnati, Ohio, amongst other places, to
ask people how they were doing. We met nurses, grocery store
workers, construction workers and even a geologist. They talked
about inflation at a 40-year high, and how it costs more to get by.
Many spoke openly about working more than one job to help overcome
the effects of inflation. Some picked up an extra job to earn a
little spending money. And some families needed multiple ways to
work and save to feel they had some control over their future. Life
changes, like divorce or assuming responsibility for aging loved
ones, were also reflected in conversations with people referencing
trying multiple tactics to earn additional income. Others just flat
out preferred working with independence to have the time to pursue
their passions. In short, a common thread is a shift from a single,
long-term job, with salary and benefits, to multiple jobs – be it
side hustles, gig jobs, or contract work.
While talking directly to people is foundational, history can
also teach a lot. The last bout of high inflation came in the
1970’s. It led to labor movements, and with it, the development and
adoption of retirement plans like the IRA and 401(k). They became a
way for companies to provide retirement savings for employees as
the world was shifting, much like it is today – and for those
without an employer-provided pension to save for retirement. It
worked for our parents' generation. The proliferation of 401(k)
plans and IRAs provided an opportunity for millions to save while
defined benefit plans (employer-provided pensions) declined. From
their first introduction, 401(k)s and similar plans grew from $200
billion in 1980 to $9 trillion today, while IRA assets grew from
$25 billion to $11 trillion over the same period.
The move towards multiple jobs, multiple careers, side hustles
and gig work is not just a fad. Rather, it’s a shift of proportions
much larger than people realize, and the reasons are both economic
and human. In a study by MBO Partners, 73% of those working
independently on a part time basis are doing it to supplement
income, particularly in light of inflation. In addition, 63% of the
workers surveyed said it was their choice to work independently. By
choice or by circumstance, the way people are earning a living is
Taking this further, the shift also means the way people are
employed won’t match up to the way they usually access benefits –
through a traditional employment structure. What happens then, if
important benefits are tied to a less prevalent single employer
lifestyle? Those benefits should follow you to any employer or
source of income, not be tied to a company.
We decided to do something about it.
Four weeks ago, we announced Robinhood Retirement - the first
and only IRA with a 1% match for every eligible dollar contributed
(terms and conditions apply). To date, more than 1 Million people
(and counting) are taking steps to fight for their futures. Many
are gig economy workers – Dashers, Uber drivers – or consider
themselves self-employed. Others are looking to save beyond what’s
already provided by employers such as Amazon, FedEx, Walmart, and
In 2023, Robinhood remains a company fundamentally focused on
the unmet needs of the next generations. No matter how income is
earned, we believe the impact of providing long term savings
incentives are just as powerful today as they were for our parents'
generation. With elevated inflation, like in the late 1970’s, and
now historically high government debt, it’s clear that saving for
the future has become more important than ever. We see an
opportunity to be a part of the solution, to build products that
adapt to the way work and savings will evolve, and ensure people
have the tools to control their financial future – just like the
way we started.
Robinhood was founded by Baiju Bhatt and Vlad Tenev in 2013.
Robinhood's mission is to democratize finance for all. All
investments involve risk. IRA offered through Robinhood Financial
LLC (member sipc.org).
Disclosures *Other fees may apply. Match
*Contributions must come from an external source and the match
is capped at the annual IRS limits for contributions. The customer
must keep the funds that earned the match in the account for at
least five years to avoid the possibility of a fee when withdrawn.
For more information, see the IRA Match FAQs.
Robinhood does not provide tax advice.
All investments involve risk and loss of principal is
Robinhood Financial LLC (member SIPC), is a registered broker
dealer. Robinhood Securities, LLC (member SIPC), is a registered
broker dealer and provides brokerage clearing services. All are
subsidiaries of Robinhood Markets, Inc. (‘Robinhood’).
© 2022 Robinhood Markets, Inc.
About RobinhoodRobinhood Markets is on a
mission to democratize finance for all. With Robinhood, people can
invest with no account minimums through Robinhood Financial LLC,
buy and sell crypto through Robinhood Crypto, LLC, spend, save, and
earn rewards through Robinhood Money, LLC, and learn about
investing through easy-to-understand educational content. Robinhood
uses the “Overview” tab of its Investor Relations website
(accessible at investors.robinhood.com/overview) and its blog,
Under the Hood (accessible at blog.robinhood.com), as means of
disclosing information to the public for purposes of the SEC’s
Regulation Fair Disclosure (Reg. FD). Investors should routinely
monitor those web pages, in addition to Robinhood’s press releases,
SEC filings, and public conference calls and webcasts, as
information posted on them could be deemed to be material
information. "Robinhood" and the Robinhood feather logo are
registered trademarks of Robinhood Markets, Inc.
A photo accompanying this announcement is available at
Robinhood Markets (NASDAQ:HOOD)
Gráfico Histórico do Ativo
De Fev 2023 até Mar 2023
Robinhood Markets (NASDAQ:HOOD)
Gráfico Histórico do Ativo
De Mar 2022 até Mar 2023