Webull IRA review quick take: Webull IRAs can help you save for retirement with its traditional, Roth and Rollover options.
What is a Webull IRA?
Webull is an online brokerage account offering Roth, traditional, and Rollover IRAs to help you save and invest for your retirement.
IRAs are retirement savings accounts that offer certain tax advantages. With a Webull IRA, you actively invest to maximize the returns of your tax advantage accounts. You can use the same features available within the app to manage your IRA investment.
Webull Financial, LLC is a registered broker-dealer and member of FINRA and SIPC with headquarters at 44 Wall Street, New York City.
How Webull IRAs work
Webull offers self-direct IRAs. With self-directed IRAs, you make your own trading decisions. However, in Managed IRAs, your portfolio is managed for you after you.
Webull offers:
- Traditional IRA: Contribute pre-tax funds and enjoy tax-deferred growth on your investments within the account.
- Roth IRA: Make post-tax contributions for the benefit of tax-free withdrawals in the future. Income restrictions may apply.
- Rollover IRA: If you have an IRA with your former employer, you can choose to roll it over to your IRA with Webull.
IRA contributions are regulated by the IRS. There are maximum contribution and deduction limits along with annual deadlines that must be adhered to. This is a federal regulation, not a company policy. Learn more about IRAs here.
Similar to the Webull trading app, you can take advantage of the following with your IRA investments.
- Zero-commission: Trade with no commissions or trading fees for stocks and ETFs in your IRA account.
- Full extended hours trading: Trade before and after the market closes. Access trading either before (4 AM – 930AM) or after (4 PM – 8 PM) the trading day of a stock exchange.
- Advanced Trading Tools: Access technical indicators, research reports, and real-time market data, which can help investors make informed decisions within their IRAs.
Webull IRA does not allow trading on margin or shorting securities, and the account balance cannot be negative. IRA accounts only support day trading with settled funds.
Key Features
- Diverse Investment Types: You can invest in stocks, ETFs, and options, allowing for a diversified retirement portfolio.
- Automation: Set recurring investments and contributions to reach your retirement goals.
- Earn extra: Get 5.00% APY on your contribution with Webull Cash Management, no fees or minimum, FDIC insured.
- Automated Portfolio: A robo-advisor service that offers a customized, automated, and actively managed portfolio.
Fees
- Commission Fees: $0
- Minimum Account Fee: $0
With all IRA funds, withdrawing the amount before retirement age can result in taxes, early withdrawal fees, and penalties assessed by the IRS.
Pros and Cons
Pros
- No minimum balance requirements
- Commission-free trades
- Ability to diversify investments in same IRA
Cons
- Limited customer service
- Complex Interface for beginners
- No IRA options for self-employed or business owners
Who is Webull IRA best for?
Webull IRAs are best for active investors who want to manage the type of investments they have in their IRA.
Click here to learn more and open your IRA today.
Webull IRA Review
Webull IRA is a legitimate service and not a scam. The company is a member of the Securities Investor Protection Corporation (SIPC), which protects securities customers of its members up to $500,000 (including $250,000 for cash claims). Additionally, Webull clearing firm Apex Clearing Corp has purchased an additional insurance policy. Keep in mind that your trading losses are not insured.
In researching for our Webull review, we learned the app has a 4.7 out of 5-star rating in the App Store with over 300,000 reviews. However, Webull also has a poor rating of 1.4 out of 5 on Trustpilot, with just over 200 reviews. Some of the major complaints centered on clearing times and interface complexity.
While Webull’s advanced trading tools can benefit experienced investors, they may be overwhelming or confusing for beginners, potentially leading to suboptimal performance within IRAs.
In our review of Webull IRA, we found actively managing your retirement funds can mean a potential for bigger gains but it also comes with increased risks. Actively trading with your retirement fund could lead to losses especially in volatile market conditions.
Ready to get your IRA started? Click here.
How to Start Investing Using Webull IRA
Minimum Requirements
- A US citizen currently living in the States or a US resident alien.
- Received taxable compensation during the year.
If you’re an existing Webull app user, you can open an IRA. New users must first open a Webull brokerage account and then apply for an IRA.
Step-by-step to Open a Webull IRA Account
The time needed: 3 minutes.
- Getting started
- Log in or click here to open a new account.
- Apply for an IRA account
- Choose the type of IRA you’d like to open. Sign the terms and conditions.
- Submit your application
- It may take up to 3 business days to approve your IRA application.
Webull IRA Alternatives
Alternatives to Webull IRAs include Acorns Later, M1 Finance IRA, SoFi IRA, and many others.
Find additional retirement accounts in the marketplace.
Webull IRA FAQs
Why contribute to a Webull IRA?
Contributing to an IRA has tax-advantaged benefits. Depending on your work situation and income, you can open a Traditional or Roth IRA. You may even be able to roll over existing 401(k)s or IRAs from other plans into Webull.
The following are other considerations:
- Depending on the type of IRA, you can save on your taxes now with a deduction or enjoy tax-free withdrawals.
- Grow your account with income from interest, dividends, and capital gains that can accumulate yearly without an end-of-year taxable event.
- Greater investment flexibility. Most 401(k)s and other employer retirement plans only provide limited investment choices. With an IRA in an online brokerage, you can pick from a wider range of investment options.
Why Manage Your IRAs?
With Webull IRAs, you can invest your retirement money into the samestocks and ETFs you do with your general investing account. The primary benefit of managing your IRA is opportunity to grow your retirement. You can choose to actively trade or passively invest. Learn more about passively investing in index funds with your IRA.
However, if you would rather have your retirement accounts managed for you, consider using a robo-advisor and find one in the financial marketplace.
Can I rollover my existing IRA or old 401(k) into Webull?
You can transfer and roll over existing retirement plans into Webull IRAs and potentially save on management fees.
- Transfer an IRA: transfer your existing IRAs from other brokerages.
- Roll over a 401(k): Submit a request to roll over your previous employer-sponsored plan.
by Jason Vitug
Webull IRA: Is it worth it?
Webull’s IRA offering is definitely a contender as it’s general investing account is highly rated by its users. If you’re looking to actively manage your IRAs then this may be a good option. You get the same zero-commission trades and no minimums. Just keep in mind you’re required to follow IRS rules regarding retirement accounts. There are limits and rules you must follow.
Are Webull IRAs a good option?
You are in complete control with a Webull IRA. You make all the investment decisions. That can be a good thing, but it all depends.
Do I recommend using a trading platform for your IRAs? Well, I’m a bit more passive when it comes to my retirement accounts. I prefer to set it and forget it so using robo-advisor works for me.
However, if you have mastered or pretty confident with your general investing account, managing your IRAs yourself can mean better returns for you and no management fees.