Your Betterment investment account is customizable into separate sub-accounts called “goals”. Goals can be designated for different purposes, each with its own portfolio, target balance, time horizon, and deposit/withdrawal schedule. You can create new Goals by clicking the "Add Account" button, and then specifying the type of advice you would like for that Goal.
Goals allow you to save and invest for multiple things at the same time while customizing the investment needs for each one. We will recommend an asset allocation and how much you need to contribute in order to increase your chances of achieving your Goal. Over time, we provide updated advice for your goals designed to balance risk and returns. To read more about how our asset allocation advice changes based on the Goal type, read Our Goals and Advice Explained.
Some popular goals are:
- IRAs - to help save for retirement or rollover from other financial institutions
- Safety Net - for emergencies and short term savings
- Build Wealth - for those who want to invest aggressively over a much longer period of time.
Please note that personal or joint taxable accounts can have as many goals as you would like. IRAs are limited to one retirement goal for each type of IRA (Roth and Traditional), since IRAs are specifically for retirement.