The SoFi Securities LLC (“SoFi”) 1% Match (“Match” or “Offer”) applies to eligible deposits and 401(k) rollovers into Individual Retirement Accounts (IRAs) held with SoFi and. The Offer is governed by the following Terms & Conditions:
1. Offer:
IRA Deposit Match: SoFi will match 1% of a customer’s ACH deposits into their existing or newly opened SoFi IRA during the Offer Period, up to their annual contribution limit. Deposits must be maintained in the IRA for two (2) years. Bonuses will be paid within 60 days of the last day of the month in which the contributions settle in your SoFi Invest account. Examples below:
Example 1: If you contribute $7,000 to your IRA in 2024 and have not made any contributions to an IRA during that year, you will be matched 1%, equaling $70.
Example 2: If you have made a contribution of $2,000 to your IRA for 2024 and contribute an additional $7,000 during the offer period, bringing you over the annual contribution limit, you will be matched 1% of your additional contribution up to the legal limit, which would be $50 if you are below 50 years old, or $60 if you are above 50 years old. If you contribute above your annual limit, the match will only apply to the amount up to your annual legal contribution limit.
| 2024 IRA Contribution Limits | |
|---|---|
| If you’re younger than 50 | $7,000 |
| If you’re age 50 or older | $8,000 |
401(k) Rollover Match: SoFi will match 1% of a customer’s 401(k) rollover of more than $20,000 into their newly opened SoFi IRA or existing SoFi IRA in good standing, facilitated via the Capitalize application (see Eligibility below), during the Offer Period. If a customer submits more than one rollover during the same month, the sum of the rollovers must be more than $20,000 to be eligible for the match. The rollover funds must be maintained in the IRA for two (2) years. Bonuses will be paid within 60 days of the last day of the month in which the rollover funds settle in your SoFi IRA account.
Example: If you complete a $75,000 rollover with Capitalize to a SoFi IRA during the Offer Period, you will be matched 1%, equaling $750.
2. Offer Period: The Offer Period is any time from October 15, 2024, though SoFi may change these dates or end the Offer at any time without notice. Deposits are eligible if they are initiated during the Offer Period.
3. Eligibility:
IRA Deposit Match: Available to customers with an existing SoFi IRA in good standing or those who open an IRA during the Offer Period and successfully deposit cash via ACH transfer into their SoFi IRA.
401(k) Rollover Match: Available to customers who roll over their 401(k) into a SoFi IRA via the Capitalize application. Rollovers must be initiated within the Offer Period. If a rollover call is required, it must occur within one month after the end of the Offer Period.
For customers with existing SoFi IRAs, a 401(k) rollover must be completed via Capitalize utilizing this link (and provide their SoFi IRA account number)
For SoFi customers who don’t have SoFi IRAs, getting started is easy;
Click here to open an Active or Automated IRA with SoFi
Once your IRA is open, click here to utilize Capitalize (and provide your SoFi IRA account number) to rollover your 401(k) to SoFi
SEP IRAs not eligible. Contributions or 401(k) rollovers to a SEP IRA (Simplified Employee Pension Individual Retirement Account) are not eligible for the Match.
Eligibility Period: Both the IRA Deposit Match and the 401(k) Rollover Match requires funds to be maintained in the IRA for two (2) years from the respective deposit date. Early withdrawal of funds may result in the proportional removal of the Match bonus.
4. Limitations: This offer cannot be combined with any other rollover or contribution bonus.
If contributions are removed prior to the end of the Eligibility Period, SoFi may at its discretion remove the corresponding proportion of the 1% Match from the customer’s account. SoFi reserves the right to liquidate securities or bill the receiving firm for any shortfall resulting from a removal of the Match bonus.
Calculations and Payments: The 1% Match is calculated based on the total deposited or rolled-over amount minus any withdrawals. SoFi calculates the 1% Match to three decimal points, rounding amounts over $0.005 up to $0.01 and amounts below $0.005 being forfeited. Payment will be made into the IRA initially credited with the contribution or rollover.
Examples:
IRA Deposit Match: if $7,000 (maximum contribution if under age 50) was deposited receiving a $70 match and then later $5,000 was withdrawn within the two year eligibility period; SoFi may remove $50 from the bonus.
401(k) Rollover Match: if $75,000 was rolled-over, receiving a $750 match and then later $50,000 was withdrawn; SoFi may remove $500 from the bonus.
Fraud and Violations: SoFi reserves the right to decline, rescind, or delay granting the 1% Match if fraudulent activity or violations of these Terms are suspected. SoFi may liquidate any security to recover the Match amount if required.
5. Not a Recommendation: This Offer is not a recommendation to buy, sell, or hold any security, nor does it endorse any specific investment strategy or account type. There are many factors an investor should consider before contributing to an IRA or deciding to rollover a 401(k). Customers are advised to consult with a qualified advisor before making any transfers or rollovers. Customers acknowledge that by participating in the Match, they are participating in the Offer voluntarily and not based on any investment advice from SoFi.
6. 401(k) Rollover Considerations: A rollover is one of several options available to you and may not be the best option for you. Other options may include leaving the 401(k) at your former employer, rolling the 401(k) to a new employer plan, or cashing the 401(k) out. You should consult with a financial advisor or tax professional prior to making any decision. Further you should consider the following prior to any change in your 401(k):
Investment Options: 401(k)s generally have limited investment options, however, some options may be exclusive to that employer’s plan. IRAs often have wider range of investment options available to investors
Services: There are different levels of service available to 401(k) participants and an investor should consider how these services differ from those in an IRA. Some employer plans may offer more robust service options.
Fees & Expenses: Both 401(k) plans and IRAs involve expenses and fees. An investor can expect to pay some fees in an IRA that may not be applied to a 401(k) such as loads, commissions, or the expenses of funds. Some employers cover administrative fees such as recordkeeping, trustee, or compliance fees. For additional details on the SoFi fee schedule click here.
401(k) Loans: Many employer plans allow you to take loans against the assets in your plan, while this option is generally unavailable in IRAs. You will be required to pay any outstanding loan balance prior to a rollover.
Penalty Free Withdrawals: Employees that leave their job between 55 and 50 ½ may be eligible for penalty free withdrawals from their plan. However, penalty free withdrawals start at 50 ½ in IRAs.
Protection from Creditors: 401(k) plans generally have unlimited protections against judgements and creditors. IRAs are only protected in bankruptcy and state laws vary.
Required Minimum Distributions (RMDs): For both employer plans and IRAs individuals are required to take periodic distributions beginning at age 70 ½. However, if an individual continues working past age 70 ½ they may not be required to to RMDs from their employer plan.
Employer Stock: There may be negative tax consequences for individuals who hold appreciated employer stock in an employer plan and transfer to an IRA. If this applies to you, consult your tax advisor prior to initiating a transfer or rollover.
7. Taxes: The Match is treated as interest earned and does not impact contribution limits. Each investor’s tax situation is unique, and SoFi does not provide tax advice. Consult a qualified tax advisor prior to making any rollover or transfer.
8. Disclosures: SoFi reserves the right to change or terminate the Offer at any time without notice. The Offer is not transferable, saleable, or valid in conjunction with other offers and is available to U.S. residents for personal, non-commercial use only.