Retirement Buddy vs. Robo-Advisors

Understanding the difference between retirement planning tools and investment management platforms.

Different problems, different solutions. Here's how to know which you need.

The Core Difference

Retirement Buddy

Planning & Guidance Tool

Helps you figure out what to do: When to retire, how much to save, budget strategies, scenario modeling, and emotional support for the transition.

You make the investment decisions.

Robo-Advisors

Investment Management Platform

Executes investment strategy for you: Automated portfolio allocation, rebalancing, tax-loss harvesting, and ongoing management of your assets.

The algorithm manages your investments.

Key insight: These aren't competing solutions—they solve different problems. Many people need both.

Feature-by-Feature Comparison

Primary Purpose

Retirement Buddy

Retirement planning & life transition coaching

Robo-Advisors

Automated investment management

Cost Structure

Retirement Buddy

$0-$3/month flat fee

Robo-Advisors

0.25%-0.50% of assets under management (AUM)

Minimum Investment

Retirement Buddy

None (planning only)

Robo-Advisors

$0-$500 minimum to start investing

Investment Management

Retirement Buddy

Not provided (educational guidance only)

Robo-Advisors

Automated portfolio management & rebalancing

Retirement Projections

Retirement Buddy

Advanced Monte Carlo simulations

Robo-Advisors

Basic retirement calculators

Budget Planning

Retirement Buddy

Integrated budget & debt planning

Robo-Advisors

Not included

Emotional Support

Retirement Buddy

AI coach for retirement anxiety & transitions

Robo-Advisors

Not included (investment focus)

Tax-Loss Harvesting

Retirement Buddy

Not provided

Robo-Advisors

Automated (on higher tiers)

Interface Style

Retirement Buddy

Conversational AI chat

Robo-Advisors

Dashboard & portfolio graphs

Best For

Retirement Buddy

Planning, budgeting, transition support

Robo-Advisors

Hands-off investing, portfolio management

Cost Comparison

How AUM-based fees scale vs. flat subscription pricing

Portfolio SizeRetirement BuddyRobo-Advisor (0.25%)
$100,000 invested$36/year$250/year
$250,000 invested$36/year$625/year
$500,000 invested$36/year$1,250/year
$1,000,000 invested$36/year$2,500/year

Note: Robo-advisor fees are charged on your investment balance and compound over time. With a $500K portfolio, you'll pay $1,250/year vs. $36/year for planning guidance. However, robo-advisors manage your investments, which Retirement Buddy does not.

When a Robo-Advisor Is the Better Choice

If these describe your situation, a robo-advisor might be what you need.

Want Automated Investment Management

You have investable assets and want someone (or something) to manage your portfolio, rebalance, and optimize tax efficiency.

Ready to Invest Now

You already have a plan and need execution—automated buying, selling, and portfolio management.

Prefer Hands-Off Approach

You don't want to think about investments. Just deposit money and let algorithms handle the rest.

Tax-Loss Harvesting Matters

You have a taxable investment account and want automated tax optimization strategies.

Focus Solely on Returns

Your primary concern is investment performance, not comprehensive retirement planning or emotional transitions.

Our recommendation: If you have investable assets and want hands-off portfolio management with automated rebalancing and tax optimization, robo-advisors like Betterment or Wealthfront are excellent choices.

When Retirement Buddy Is the Better Choice

If these describe you, our planning-focused approach is what you need.

Need Planning Before Investing

You need to figure out how much to save, when to retire, and what your budget should be before investing.

Want Budget & Debt Integration

You need help with current finances (budgeting, debt payoff) alongside retirement planning.

Prefer Conversation Over Dashboards

You want to ask questions, explore scenarios, and get guidance through conversation, not just view graphs.

Navigating Retirement Transition

You're dealing with retirement anxiety, identity changes, or the emotional side of leaving work.

Want Scenario Testing

You want to explore "what if" scenarios: retire at 62 vs 65, different spending levels, healthcare costs.

Already Have Investments Elsewhere

Your 401(k) and IRA are already invested. You need planning guidance, not portfolio management.

Perfect fit: You need help planning retirement (when to retire, how much to save, budgeting, scenario testing) rather than managing existing investments. You want conversation, guidance, and emotional support for the transition.

The Ideal Combination

Many users benefit from both:

  • Use Retirement Buddy for planning: Figure out when to retire, create budgets, explore scenarios, get emotional support
  • Use a robo-advisor for execution: Let algorithms manage your portfolio, handle rebalancing, and optimize taxes
  • Best of both worlds: Strategic planning guidance + automated investment management
  • Total cost: Still far less than a traditional financial advisor

Planning + Execution = Complete retirement solution

Start Planning Your Retirement Today

Get expert planning guidance for $0-$3/month. Invest your assets however you choose.