Wealthfront vs Betterment
By Itai Varochik | Updated 2026
Quick Verdict
Overall Winner: Wealthfront (4.5/5)
We tested Wealthfront and Betterment side-by-side. Wealthfront comes out ahead overall, but Betterment may be better for specific use cases.
Score Breakdown
| Criteria | Wealthfront | Betterment |
|---|---|---|
| Features | 8.5/10 | 8/10 |
| Ease of Use | 8.5/10 | 9/10 |
| Value for Money | 8.5/10 | 8.5/10 |
| Customer Support | 7/10 | 8/10 |
| Overall | 8.3/10 | 8.5/10 |
Feature Comparison
| Feature | Wealthfront | Betterment |
|---|---|---|
| Automated Investing | Yes | Yes |
| Direct Indexing | Yes | No |
| Path | Yes | No |
| Cash Account | Yes | No |
| Portfolio Line of Credit | Yes | No |
| Tax-Loss Harvesting | No | Yes |
| Goal Planning | No | Yes |
| SRI Portfolios | No | Yes |
| Cash Reserve | No | Yes |
| Financial Advice | No | Yes |
| Automatic Rebalancing | No | Yes |
Pricing Comparison
Wealthfront: 0.25%/year
Betterment: 0.25%/year
Wealthfront Pros & Cons
Pros
- Automated tax-loss harvesting from $500
- Low 0.25% annual advisory fee
- Path financial planning tool
- Direct Indexing for $100K+ accounts
- Self-Driving Money auto-routing
- No trading commissions or hidden fees
Cons
- No human financial advisor access
- $500 minimum to start investing
- Limited investment customization
- No individual stock picking
- Cash Account APY may vary
Betterment Pros & Cons
Pros
- No minimum deposit required to start investing, making it accessible for beginners.
- Industry-leading automated tax-loss harvesting significantly boosts after-tax returns.
- Offers diverse socially responsible investing (SRI) portfolios to align with personal values.
- High-yield Cash Reserve account with competitive APY and FDIC insurance.
- Intuitive and user-friendly interface simplifies financial planning and tracking.
- Goal-based investing framework helps users visualize and achieve financial milestones.
Cons
- Does not support direct trading of individual stocks or ETFs, limiting active investor control.
- Access to a human financial advisor requires a substantial $100,000 minimum balance for the Premium plan.
- Limited customization options for investment portfolios beyond pre-set allocations.
- No cryptocurrency investment options are currently available.
Key Specifications
| Spec | Wealthfront | Betterment |
|---|---|---|
| Rating | 4.5/5 | 4.5/5 |
| Pricing | 0.25%/year | 0.25%/year |
| Year Founded | 2008 | 2008 |
| Headquarters | Palo Alto, CA | New York, NY |
| Employees | 350+ | 400+ |
| Best For Region | United States | United States |
| Cash Account APY | 4.50% | 4.00%+ |
Our Verdict
Wealthfront wins overall. Choose Wealthfront if you value Hands-off long-term investors. Choose Betterment if you prioritize Hands-off investors wanting automated, diversified portfolios..
Frequently Asked Questions
Is Wealthfront better than Betterment?
Based on our testing, Wealthfront scores higher with a rating of 4.5/5 compared to Betterment's 4.5/5. However, the best choice depends on your specific needs.
What is the main difference between Wealthfront and Betterment?
Wealthfront is known for: Robo-advisor with direct indexing, financial planning, and high-yield cash account.. Betterment is known for: America's largest independent robo-advisor with automated investing and tax optimization..
Which is cheaper, Wealthfront or Betterment?
Wealthfront pricing: 0.25%/year. Betterment pricing: 0.25%/year.
Can I use Wealthfront and Betterment together?
While both tools serve similar purposes in the Robo-Advisors category, some users do use complementary features from both platforms.
What are the pros of Wealthfront?
Automated tax-loss harvesting from $500. Low 0.25% annual advisory fee. Path financial planning tool
What are the pros of Betterment?
No minimum deposit required to start investing, making it accessible for beginners.. Industry-leading automated tax-loss harvesting significantly boosts after-tax returns.. Offers diverse socially responsible investing (SRI) portfolios to align with personal values.
Which robo-advisors should I choose?
Choose Wealthfront if you value Hands-off long-term investors. Choose Betterment if you prioritize Hands-off investors wanting automated, diversified portfolios..