Acorns Launches Retirement Account Product, Acorns Later

Digital micro investing app Acorns today launched Acorns Later, an account that enables users to put money into a retirement account.

Acorns Later is an automated IRA account, tax-advantaged retirement account that requires as little as $5 investment per month. In a previous interview with Bank Innovation, Acorns CEO Noah Kerner described the product as the first automated retirement “for the up and coming,” in which Acorns recommends a type of retirement product based on a user’s financial profile.

Based on this, Acorns Later recommends a portfolio in one of three individual retirement accounts: Traditional, Roth, or SEP.

The launch of Acorns Later comes because of Acorns’ acquisition of Portland-based fintech Vault, which enables users to automatically invest part of their paycheck into a retirement fund. Acorns acquired Vault for an undisclosed amount back in November.

Acorns’ Kerner previously told Bank Innovation there were about 340K customers on the waitlist for Acorns Later as of the beginning of this month.