TL;DR: I Freaking Love This App
For around 21 Months, I have been using Acorns Investing to put some spare money back.
I started with just the round-ups. With round-ups, Acorns takes the spare change left over from the purchases made with a debit card, credit card, or bank account and automatically invests it into a portfolio that you choose by varying degrees of risk level. They call this spare change “round-ups”. You can choose to round to the whole dollar, or you can even choose to add a multiplier to your “round-ups”. You have the choice between five levels of a portfolio style, from “conservative” to “aggressive”.
Buying More Assets
This all started when I took a hard look at my budgeting. I read “Rich Dad, Poor Dad“, by Robert Kiyosaki and Sharon Lechter. Short review – It’s ok. It could have been condensed a bit.
Long story short:
Buy assets, not liabilities. If you can’t invest in your own businesses or ventures, buy index funds. The end.
After I quit smoking (humble brag), I took the money that I would have spent per week on cigarettes, and set it up to automatically add that amount to my Acorns account.
After some time I have saved up quiet a bit of money, and the performance has been very good. Currently my total gains have been around 4.7%.
I could have done better, but you will see drops where I pulled some of this cash to pay for an engagement ring and a vacation. That at least saved me from paying interest on a credit card.
Below, you will see a portfolio breakdown of how Acorns has invested my cash.
Why Put Your Money Here?
There is a real simple answer to that.
The returns from a savings account are normally around 1%. If you want your money to make money, give Acorns or another investing app a shot. If you start making serious cash, that may be the time to look for a real life financial adviser.