How we rate IRAs
We considered various factors when evaluating individual retirement accounts. These include investment types like stocks, exchange-traded funds, mutual funds, options and futures. A limited selection can restrict your ability to tailor your strategy to your financial goals.
Different financial situations and retirement strategies benefit from different IRA types. That’s why we have separate rankings for the best IRAs, the best Roth IRAs and the best custodial IRAs.
How we choose the best products
The first step in choosing the best IRAs is identifying the leading companies that offer them. Next, we ranked them based on specific attributes.
When ranking the best custodial IRAs, we researched and ranked companies that offer this account type. We did the same for Roth IRAs.
How many companies we reviewed
We reviewed nearly 30 leading companies that offer IRAs. We rated and ranked these IRAs based on various features to determine the best overall, best Roth and best custodial.
More than 70 questions were asked per company to ensure we understood the products and services offered. Our questions included queries on fees, educational resources and investment types.
How we collect data
We collect data on ranking products manually. Our expert researchers visit various product pages to gather information. They also contact companies by phone or email to confirm missing data points.
The data has a half-life of three or six months. It’s reviewed and refreshed quarterly or semiannually. The rankings are adjusted at these times.
How many hours we spend reviewing
Ranking IRA products requires 60 hours or more, from research to analysis.
The quality assurance phase, which includes fact-checking, typically takes about 12 hours. Larger projects go through multiple QA stages, often three, with each stage typically taking three to four hours.
Star rating scoring
Ratings are used to rank products and determine which is best. The scoring is based on a one-to-five scale. The best product receives five stars.
The other products are proportionally ranked against the top product. For example, if a product receives a score that’s 80% as good as the first, it receives four stars.
Methodology
We reviewed and researched some of the largest online brokerages in the U.S. to rank the best in terms of their IRA offerings.
Our methodology comprised several categories. These categories were divided into subcategories to get down to the nitty-gritty of what each brokerage brings to the table.
We adjusted the weights of the categories and subcategories based on the IRA type: overall, Roth or custodial. This reflects investors’ different needs and objectives.
Investment types
This category focused on the securities offered by each IRA provider. By assessing this metric, we identified IRA providers with breadth and flexibility.
This category consisted of the following subcategories:
- Stocks.
- ETFs.
- Mutual funds.
- Certificates of deposit.
- Money market funds.
- Treasury bills.
- Bonds.
- Options.
- Futures.
- Fractional shares.
Educational resources
An IRA is a self-directed account. Beginners and DIY investors must have the right knowledge to succeed. This is significantly easier when an IRA provider offers a library of trustworthy resources like courses, articles and research reports.
This category had the following subcategories:
- Articles.
- Videos.
- Webinars.
- Online courses.
- In-house research.
- Third-party research.
- Newsletters.
- Podcasts.
Retirement-specific education resources
The IRA is designed to help you save for retirement. So tools that help you visualize your retirement plan are useful.
Customer service
Imagine needing help with your account or having a question about your investments. You’d want your IRA provider’s quick, helpful response, right?
Good customer service means getting the assistance you need when you need it. It also means getting it in a convenient and accessible format.
This category consisted of the following subcategories:
- 24/7 support.
- Phone support.
- Email support.
- Online chat support.
Security and customer rating
Strong security measures safeguard your financial assets and your peace of mind. Nowadays, everything is digital. So it’s good to have an IRA provider with a track record of not being hacked.
Don’t overlook the importance of customer ratings. They’re like personal recommendations from other investors. High ratings can give you confidence that you’re choosing an IRA provider others trust, while low ratings could signal potential headaches.
This category had the following subcategories:
- Better Business Bureau rating.
- Securities and Exchange Commission regulation.
- Two-factor authentication.
- Biometric login on mobile devices.
Account and trading fees
The best IRA providers don’t nickel-and-dime you. They won’t gouge you for opening or closing an account, transferring assets, making trades, or maintaining a minimum balance. This ensures more of your money can work for you in the market.
This category consisted of the following subcategories:
- Account minimum for basic IRAs.
- Transfer fee for rollover IRAs.
- Commission fee.
- Trading fee.
- Per-contract fee for options.
- Account closure fee.
- IRA outgoing transfer fee.
- Opening fee.
- Ability to link bank accounts.
- Dashboard for linking external accounts.
Company products
Finding IRAs with low or no annual and monthly fees is also essential. That way, more of your money remains invested. Premium wealth advisory services are a significant plus. They can provide you with personalized investment advice and financial planning.
This category had the following subcategories:
- Assets under management.
- Annual fee for IRAs.
- Amount of annual fee.
- Amount of monthly fee.
- Premium wealth advisory services.
Insurance
An IRA provider’s insurance coverage for your assets can be a game-changer. Knowing whether and how well your investments are protected if the financial institution fails is crucial.
Some IRA providers offer insurance in addition to the standard Securities Investor Protection Corp. protection. This extra layer of security can give you peace of mind.
This category consisted of the following subcategories:
- Federal Deposit Insurance Corp. protection.
- SIPC protection.
- Additional asset protection.
Best IRAs
Here’s the list of factors and weightings for our best IRA ranking:
- Investment types: 25%.
- Security and customer rating: 20%.
- Education resources: 10%.
- Customer service: 10%.
- Account and trading fees: 10%.
- Company products: 10%.
- Insurance: 10%.
- Retirement-specific education resources: 5%.
Our goal in ranking the best IRAs was to find options that suit a range of investors, from beginners to veterans. That's why we heavily emphasized investment options, security and customer rating, and customer service. These factors matter no matter what type of investor you are.
To help choose the right provider for your financial goals, check out our list of the best IRAs.
Best Roth IRAs
Here’s the list of factors and weightings for our best Roth IRA ranking:
- Investment types: 20%.
- Education resources: 20%.
- Security and customer rating: 20%.
- Customer service: 10%.
- Account and trading fees: 10%.
- Company products: 10%.
- Retirement-specific education resources: 5%.
- Insurance: 5%.
Account security, customer service and investment variety are universally important. But we gave more weight to the availability of educational resources for Roth IRAs. That’s because they’re the go-to for many new investors with small balances.
Curious about which Roth IRA topped our list? Take a look at the best Roth IRAs.
Best custodial IRAs
Here’s the list of factors and weightings for our best custodial IRA ranking:
- Investment types: 20%.
- Education resources: 20%.
- Security and customer rating: 20%.
- Customer service: 10%.
- Account and trading fees: 10%.
- Company products: 10%.
- Retirement-specific education resources: 5%.
- Insurance: 5%.
Our custodial IRA weightings mirrored our Roth IRA weightings. That’s because many custodial IRAs are Roth IRAs. A custodial IRA is for your child. But you, as the custodian, manage the account as if it were a regular IRA. This means the same factors are important.
A custodial IRA may be the perfect building block for your child's financial future. Read our best custodial IRA rankings.
USA TODAY Blueprint’s editorial standards
Our writers and editors, along with our data team, fact-check every article to ensure we have the most accurate and up-to-date information. We use a data-driven methodology based on what investors value most to determine each rating.
We pride ourselves on our journalistic integrity. Our goal is to empower our readers to make sound financial decisions. Advertisers do not influence our content, opinions or evaluations.
