Update 1/21/24: They now offer this IRA/401k transfer bonus at a higher 3% for Robinhood Gold.
Contents
The Offer
- Robinhood is offering a 1% bonus on all IRA transfers and 401(k) rollovers. Unlimited bonus. Must hold investment with Robinhood for five years.
Our Verdict
This offer is separate from the Robinhood offer for a 1% match on IRA contributions – that offer maxes out with the federal max on contributions which is currently $6,500/$7,500. That offer also offers a increased bonus of 3% for Robinhood Gold members.
The subject of this post is separate 1% match which is unlimited for IRA transfers and 401(k) rollovers. For example, if you have $1M in IRA/401k, you can transfer it to Robinhood and get a $10,000 bonus. (This offer is the same 1% for all Robinhood members, with or without Gold status.)
There’s also another Robinhood deal which offers a 1% bonus for brokerage transfers.
To recap, there are three separate Robinhood deals currently:
- 1% bonus for IRA/401(k) transfers and rollovers with no limit; this has a five-year hold period. Robinhood Gold members get 3%, currently.
- 1% bonus for IRA contributions, or 3% for Robinhood Gold members; this has a five-year hold period.
- 1% bonus for brokerage transfers with no limit; this has a two-year hold period
We’ll add these to our List of Best Brokerage Bonuses.
Hat tip to reader Andy
They’ve upgraded this for Gold members: 3% uncapped on rollovers, same 5 year hold. See front page, scroll down to “Get a 3% boost on retirement transfers by 4/30”
terms link from the popup: https://cdn.robinhood.com/assets/robinhood/legal/Robinhood_Gold_IRA_Deposits_Match_Terms_and_Conditions.pdf
I am seeing this offer in the app as well
Does anyone know if rolling over a 401(a) specifically will qualify? I used to work in the public sector and had one.
Random thought: If there was a certain security that you plan on holding for x years come heck or high water, that security would be a good candidate for this account. One such security could be defined-maturity bond ETFs, which are basically being used to lock in current Treasury bill yields for up to 5 years. Check recent WSJ article. So, if you’re doing that, you might as well buy or park those ETFs in the RH account for the bonus.
Might be a dumb question but will a Roth IRA qualify? I read through their FAQs but didn’t see a mention of it.
I think so
My Roth Ira transfer was just denied.
“They rejected this transfer because the account type at your other brokerage firm is not a single, non-retirement account. Please remember, Robinhood can only accept transfers from individual brokerage accounts at this time.”
So confused lol. And the direct link to this offer on this post takes me to the 1% match faq.
Figured it out, need to create an IRA in RH first and then initiate transfer. Just initiated another transfer request
One difference btwn the IRA rollover and regular account offer is that violation of the holding period for the IRA bonus is clawback of the entire bonus, vs. the regular account says “proportional” clawback. So, does satisfying only 1 yr of the 2 yr holding requirement for regular accounts result only in 50% bonus loss?
There is a vocal minority who got burnt during the saga last year. Ignoring those biased comments. Promos from RH is honesty something to think over.
I think people mostly do not like the 5 year requirement. The amount of people day trading “meme” garbage in their 401ks/IRAs is probably fairly low, in fact I would guess that the vast majority of people trading such things do not even have retirement accounts.
I’m still sour about them suspending buying and selling during the gamestop pump and dump. I ended up getting out and deleted the app and said never again.
Payment for order flow. Robinhood does not operate the same way as a traditional brokerage app like fidelity or TD Ameritrade. After that incident they raised a tremendous amount of cash to keep in reserves so as to ensure that if a similar situation would play out again they will not have to pause trading.
Robinhood will retire before me.
DOA if you put 5 years in the terms.
if you’re planning on retiring within the next 5 years, I’m not sure you’re in Robinhoods target demographic with this promo…. enjoy your golden years though paps
If you think you can’t get another transfer bonus in the next five years, the joke’s on you.
Although I have my brokerage at RH I’m very suspect about all these bonuses they’re running.