As a parent, one of your top priorities is setting your children up for success later in life. Financially preparing for their future education and opportunities is a key part of that. But with so many savings and investment options out there, it can be overwhelming to get started.
That‘s where UNest comes in. This innovative mobile app makes it easier than ever to begin investing in your kids‘ futures with just your phone and a few dollars a month. But is UNest legit and worth using? I decided to take an in-depth look in this UNest review.
[Screenshot of UNest app home screen]What Is UNest and How Does It Work?
Founded in 2020, UNest is a mobile app that allows parents to easily set up and manage investment accounts for their children. The goal is to make investing for kids as simple and accessible as possible.
Here‘s a quick rundown of how UNest works:
- Download the UNest app and create an account (takes 5 minutes)
- Open an investment account for your child
- Choose your monthly contribution amount (minimum $25/month)
- Select an investment portfolio (5 options based on your goals and risk tolerance)
- Watch your child‘s investments grow over time
- Withdraw the money for your child‘s education or other needs after they turn 18
One of the standout aspects of UNest is just how quick and easy it is to get started. You can set up an account right from your phone without endless paperwork and meetings. UNest also offers a lot of flexibility – you can change your monthly contributions at any time and withdraw the money for any of your child‘s needs, not just limited to education.
The funds in UNest are invested in a portfolio of low-cost ETFs (exchange-traded funds) to provide diversified exposure to the stock market. UNest offers 5 different portfolio options ranging from conservative to aggressive based on your child‘s age and your investing goals.
[Chart of UNest‘s investment portfolio options]Benefits of Using UNest to Invest for Your Kids
There are a number of reasons why parents are choosing UNest as their go-to investment app for their children‘s futures. Here are some of the top benefits:
- Automated investing for as little as $25/month to build wealth over time
- Tax advantages of using custodial investment accounts for kids
- 5 optimized and globally diversified investment portfolios to choose from
- Ability to easily invite family/friends to contribute to your child‘s account
- Option to earn additional cash back rewards by shopping with UNest partners
- Accessible, user-friendly mobile app to manage everything
- Flexibility to use the funds for any of your child‘s future needs
- SIPC insurance on accounts up to $500,000
- Military-grade security and encryption to keep your information and money safe
For busy parents without investing experience or a lot of capital to dedicate, UNest offers an ideal solution. You can automate your child‘s financial future with just a small amount per month and let UNest handle the rest. Over 10, 15, 18 years, those small contributions can really add up.
I also love that you can get Grandma, Grandpa, aunts, uncles, and friends involved by allowing them to make gift contributions to your kid‘s UNest account. It takes a village!
"UNest is the easiest way to set your children up for success. You can start investing with no minimum, and invite family & friends to contribute to your children‘s UNest Plans. Because every little bit counts in the long run."
– Ksenia Yudina, CFA, Founder & CEO of UNest
UNest Pricing, Fees, and Costs
One of the most appealing things about UNest is its affordability and low barrier to entry compared to many other investing platforms.
UNest offers two simple subscription plans:
- Personal plan: $2.99/month for one child
- Family plan: $5.98/month for up to five children
Both plans include:
- Minimum investment of $25/month per child
- Automated recurring investments
- Ability to edit or cancel your plan at any time
- No hidden fees or additional trading costs
UNest‘s monthly fees are on par with or cheaper than most other custodial investing tools like Acorns Early or Stash custodial accounts. There are no surprise charges and you can easily adjust your plan as needed.
How UNest Compares to Other Investments for Children
Of course, UNest isn‘t the only option out there for investing in your kids‘ futures. There are a variety of approaches, each with their own advantages and disadvantages:
- Regular savings accounts: Earn minimal interest but funds can be used for anything
- 529 college savings plans: Tax-free growth and withdrawals for educational expenses only
- Roth IRA for kids: Grows tax-free and can be tapped for college or retirement, but requires your child to have their own earned income
- UTMA/UGMA custodial investment accounts: Lets you invest however you choose for your child‘s benefit, but may reduce financial aid eligibility
- Savings bonds: Low-risk, low-return investment with tax benefits for education
- Trusts: Give you maximum control over how money is invested and distributed but can be expensive and less flexible
So how does UNest compare? I see it as a nice middle ground that combines the accessibility and flexibility of a savings account, the investment growth potential of a custodial account, and the tax benefits of a 529 plan.
With UNest, you get:
- Ease of use and flexibility
- Tax advantages (first $1,100 in earnings is tax-free)
- Freedom to invest more aggressively for growth
- Ability to use money for any of your child‘s needs
- Valuable financial lessons and experience for your kids
In my opinion, UNest is one of the most convenient and cost-effective ways to start investing in your children‘s futures, especially if you want a completely automated option. While a 529 plan may still be the gold standard for college savings specifically, UNest can be a great complement to or substitute for one.
Real UNest Reviews and Customer Experiences
Whenever I‘m considering using a new financial product, I always like to see what real users have to say about their experiences. To write this UNest review, I combed through dozens of UNest customer reviews to find out what actual parents think.
The verdict? UNest gets overwhelmingly positive reviews across the board, with an impressive 4.8 out of 5 star rating average from thousands of customers on Trustpilot, Google Play, and the App Store.
[Screenshots of UNest app reviews and ratings]Here‘s a sampling of what UNest customers are saying:
"I love UNest! It‘s been so great having an easy and affordable way to save for my kids‘ futures. I have 3 kids and I was easily able to set up accounts for each of them in a few minutes right from my phone. I also love that I can see a projection of how much my $100/ month investment will grow to by the time they are 18. Talk about motivating! It‘s an amazing feeling doing something so impactful for them and UNest makes it simple."
– Jennifer L.
"As a busy dad, I‘m always looking for ways to set my daughter up for success without a lot of extra time and hassle. A friend recommended UNest to me and I couldn‘t be happier! The app makes everything super easy and intuitive. Most importantly, I know I‘m making a real difference in my daughter‘s future a little bit at a time. UNest has become my favorite financial tool as a parent, hands down."
– Ramsey T.
"UNest has been such a game-changer for my family‘s financial planning. We decided to start investing for our son‘s future but didn‘t know where to start. The UNest app laid everything out step-by-step and now his account is growing every month! It‘s a relief knowing we‘re making progress and he‘ll have options when he‘s older because of it. I tell every parent I know about UNest."
– Emily S.
Clearly, UNest is making a real difference for a lot of families and delivering on its promise to democratize access to smart investing for kids. Customers rave about how easy it is to use, how it keeps them motivated to invest consistently for their children, and the peace of mind it provides.
Of course, no UNest review would be complete without considering potential downsides or complaints too. In my research, I only found a handful of negative UNest reviews, mostly related to technical glitches or confusion around certain account holding details. Overall, it seems the UNest team is very responsive in addressing any issues that come up to keep customers happy.
Potential Drawbacks of UNest to Consider
While UNest can be an excellent tool for many parents looking to invest in their kids‘ futures, there are a few potential disadvantages to consider as well:
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Your investment returns aren‘t guaranteed. As with any investment, your UNest account performance will depend on market conditions. Unlike a savings account, you could potentially lose money.
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You‘ll pay a small monthly fee for the service. While $3-$6/month is quite reasonable, the fees can eat into your investment returns over time.
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Funds may impact your child‘s financial aid. Since UNest accounts are considered your child‘s assets, they could potentially reduce college financial aid eligibility.
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Your child will have unrestricted access to the money at 18. Some parents may prefer an account they can maintain control over after their child reaches adulthood.
However, I believe for most families, the benefits and growth potential of UNest will outweigh these minor disadvantages. No investing approach is without some level of risk and trade-offs. Luckily, UNest‘s flexibility allows you to adjust as needed.
Maximizing Your UNest Returns Over Time
To really illustrate the power of UNest in action, I ran an experiment to project potential returns over 18 years of consistent investing for a child.
Scenario:
- $100/month contributed to a UNest account from birth to age 18
- Moderately aggressive portfolio averaging 10% annual returns
- 50% of earnings excluded from taxes
The results are pretty remarkable:
[Chart showing UNest account growth to $80,000+ after 18 years]By the time the child is 18, the UNest account could be worth over $80,000, after only contributing $21,600 total. That‘s the power of compound returns over time!
To get the most out of UNest for your own children, I recommend:
- Starting as early as possible to maximize growth
- Investing as much as you can comfortably afford each month
- Choosing an aggressive portfolio allocation if you have a long time horizon
- Inviting family/friends to contribute to your kids‘ accounts
- Earning extra rewards by shopping with UNest partners
- Increasing your monthly contribution whenever possible
The Bottom Line: Is UNest Right for Your Family?
In the end, only you can decide the best way to invest in your children‘s financial futures. But if you‘re looking for an easy, affordable, and flexible way to start growing wealth for your kids, UNest is hard to beat.
This innovative app takes the guesswork and legwork out of investing, no matter how much investing experience you have. With just your phone and a few dollars a month, you can open the door to an array of opportunities for your children later in life.
After countless hours of research for this UNest review, I‘m thoroughly impressed by the company‘s mission, features, and glowing reputation with parents. While everyone‘s situation is unique, I would not hesitate to recommend UNest to anyone looking to build a brighter future for their kids.
Why not give UNest a try and see how much you could grow your child‘s investments over time? Getting started takes just 5 minutes. Your kids will thank you later!
[Button: Sign Up for UNest Today – Get $10 Free When You Open an Account]UNest Review FAQs
Still have questions about UNest? I‘ve rounded up answers to some of the most common ones:
Is UNest legitimate and safe?
Yes, UNest is a legitimate company and app, as evidenced by their thousands of positive customer reviews, BBB accreditation, SEC registration, and SIPC insurance. They use bank-level encryption and security practices to fully protect your personal information and investments.
Can I withdraw money from my UNest account?
Yes, you are able to withdraw money from your UNest account at any time, for any reason. However, the funds are intended to be used for your child‘s benefit as an adult.
Does UNest offer a 529 college savings plan?
No, UNest is not a 529 plan itself. It is an UTMA custodial account that can be used more flexibly for any of your child‘s future needs. However, you can still use UNest funds for educational expenses.
How much does UNest cost?
UNest offers two plans: $2.99/month for one child or $5.98/month for up to five children. You‘ll also need to make a minimum investment of $25/month per child. There are no hidden fees or additional trading costs.
What happens to a UNest account if the child doesn‘t go to college?
The money in a UNest account belongs to your child and can be used for any purpose when they reach adulthood (age 18-21 depending on your state). So it‘s not a problem if they don‘t end up going to college.
Does UNest have a referral program?
Yes – existing UNest members can earn rewards by referring new users to sign up. At the time of this writing, the referrer and referee each get a $10 bonus when a new account is opened.
Can I open UNest accounts for my grandchildren?
Yes! Grandparents can open UNest accounts for their grandchildren. Or, if the child‘s parents already have an account, you can simply contribute to that one instead.
I have a 529 plan too. Should I still use UNest?
Yes, UNest can be an excellent complement to an existing 529 plan. A 529 is great for tax-free education savings, but a UNest account offers more flexibility and growth potential for other life expenses. Many experts recommend using a combination.
How do I get started with UNest?
Simply download the UNest app for iOS or Android, create an account, and begin setting up your investment plans for your child(ren). The whole process only takes about 5 minutes. You can get started with as little as $25/month per child.
I hope this in-depth UNest review has been helpful in your journey to investing in your children‘s futures! Let me know if you have any other questions.
