In this Empower review, I’ll explore the evolution and capabilities of a platform that has significantly impacted the landscape of financial management and wealth management. Originally established as Personal Capital in 2009 by Bill Harris, a seasoned fintech expert with experience at PayPal and Intuit, Empower was designed to provide investors with a modern, accessible way to manage their financial accounts and receive investment advice.

Empower’s journey took a significant turn in 2020 when Empower Retirement acquired Personal Capital. This strategic move combined the strengths of both entities, resulting in a more robust and personalized solution for investment management and retirement planning.

As of now, Empower stands as one of the leading retirement plan providers in the nation, boasting control over more than $1 trillion in assets under administration and serving an impressive customer base of over 17 million.

The platform, known for its comprehensive financial tools and services, aims to smooth out the financial journey for its users. Whether you’re grappling with challenges in saving, budgeting, or simply aiming to stay on top of your financial goals, Empower positions itself as a potentially invaluable ally.

We will be reviewing Empower pros & cons, pricing structure, and much more, providing a detailed insight into how Empower could be the tool you need for effective financial management.

Reviewing Empower Pros & Cons

As you will see in the following section, while reviewing Empower pros & cons, there are many benefits and a couple shortcomings you should be aware of before making your decision on whether to use their services.
Learn More About Empower

Empower Pros

Here are the many benefits I uncovered with Empower:

• Comprehensive Account Monitoring: Empower excels in providing users with an all-in-one budget view by allowing them to link all their financial accounts, including bank, credit card, and investment accounts. This integration offers a consolidated perspective of balances, transactions, and monthly cash flow, enhancing overall financial well-being management.
• Empower Debit Card: The platform offers a Visa debit card linked to the user’s Empower account, featuring benefits like no minimum balance, no overdraft fees, cash back on select purchases, and early paycheck access.
• Intelligent Savings & Cash Back: Empower’s AutoSave feature learns from your income and expenses to transfer suitable amounts for savings automatically. The Empower card further provides up to 10% cash back on special deals.
• Free Cash Advances & ATM Withdrawals: Empower offers up to $250 in cash advances with no fees, interest, or credit checks, alongside free ATM withdrawals across a wide network in the U.S.
• Empower Personal Dashboard: The dashboard presents visual charts and graphs for an easy analysis of your total net worth, account balances, budget progress, portfolio balance, retirement savings, and emergency fund balance.
• Portfolio Overview & Investment Checkup: Empower combines multiple investment accounts to show overall portfolio performance and offers an investment checkup tool for a thorough analysis of your assets, suggesting adjustments based on your goals and risk profile.
• Fee Analyzer: This tool helps identify hidden fees within your accounts, showing the impact of these fees on your earnings and providing insights on expense ratios for each fund.
• Cryptocurrency Tracking: Empower’s Cryptocurrency BETA feature allows tracking of various coins and their values without needing to link personal wallets.
• Advanced Retirement Planner: The platform offers a sophisticated retirement planner, using linked accounts to project income, investments, and Social Security distributions. It includes a scenario simulator to understand the impact of life events on retirement.
• Personalized Investment Strategy: Empower tailors a diversified portfolio according to your financial picture, with tactical weighting and tax optimization strategies, including socially responsible investment options.
• Financial Roadmap: A feature specifically for wealth management clients, offering a customizable financial planning tool based on the analysis of your accounts.

Empower Cons

Overall, the Empower ratings from across the web are positive. There does not exist a platform that fits everyone’s needs perfectly. Here are some potential shortcomings with Empower:

• Non-Customizable Asset Allocation: Empower employs preset asset allocation models that might not suit users who prefer to deviate from these recommended allocations.
• Limited Budgeting Tool: While Empower enables cash flow and spending monitoring, its spending feature is restricted to the mobile app, lacking availability on the website platform.
• Absence of Reconciliation Tool: The platform does not offer a tool for reconciling bank statements, which could be a downside for users seeking meticulous transaction tracking. However, transactions are directly sourced from the user’s bank, ensuring synchronization.
• Higher Costs for Wealth Management Service: When compared to robo-advisors that operate without human intervention, Empower’s wealth management services are relatively costly, though they remain cheaper than traditional financial advisors.
• High Minimum for Wealth Management: Empower requires a minimum of $100,000 in investment assets to use its wealth management services, a threshold that is higher than many competing robo-advisory services.
• Lack of Quicken Data Import: Users cannot import their financial data from Quicken into Empower, potentially limiting the ease of transitioning or integrating past financial data.
• Sales Calls: Users of Empower’s free tools might receive promotional contacts encouraging them to subscribe to their paid services.
• Low Interest Rate: Offering a mere 0.01% APY on account balances, Empower’s interest rate is not competitive compared to many other savings accounts that offer higher rates without monthly fees or minimum balance requirements.
• No Option for Cash or Check Deposits: Unlike many banking applications, Empower does not accept cash or check deposits, which could be a limitation for users who prefer these methods of transaction.

Final Thoughts

In summing up this review of Empower App’s pros & cons, it’s clear that the platform stands out in the landscape of financial management and advisory services. Empower, boasting a significant amount of assets under management, has established itself as a go-to resource for private clients and everyday users alike.

The platform’s strength lies in its integration of human advisors and  wealth management tools. A team of advisors who are dedicated to providing personalized financial advice are ready and waiting for you.

The user experience offered by Empower is tailored to cater to a wide range of financial needs. From comprehensive money management tools to an in-depth financial plan structure, Empower ensures that users have all they need to manage their finances.

For private clients, Empower’s service is particularly beneficial, providing an elevated level of advice and support. With a robust team of advisors, these clients receive tailored strategies and insights, helping them to maximize their assets under management.

Overall, the Empower delivers a rich and user-friendly experience, combining the best of technology with the expertise of human advisors. It’s an ideal choice for those seeking a comprehensive, personalized approach to their financial journey.

Whether you’re just starting or looking to refine your existing financial plan, Empower offers the tools and support you need to achieve your financial goals. Click Here to get started or learn more.

Get Started With Empower