Yes, Wells Fargo offers Roth IRAs, but you'll manage it through their brokerage platform, not a traditional bank account

Wells Fargo Bank itself does not hold Roth IRAs. Instead, you open one through Wells Fargo Advisors, which is the company's brokerage and investment division. This means your Roth IRA will hold investments—stocks, bonds, mutual funds, exchange-traded funds (ETFs)—rather than sitting as cash in a savings account. If you want a Roth IRA that functions like a high-yield savings account with no investment component, Wells Fargo is not the right choice.

The process starts on the Wells Fargo Advisors website or by calling their phone line. You'll need to open a brokerage account first, then designate it as a Roth IRA. The account setup itself takes about 10 to 15 minutes online, though Wells Fargo may take a few business days to verify your information and fund the account.

Key Takeaways

  • Wells Fargo Advisors (the brokerage arm) offers Roth IRAs, but Wells Fargo Bank does not—your money goes into investments, not a bank savings product.
  • You must be under age 73 and have earned income in the year you contribute to open and fund a Roth IRA at any provider, including Wells Fargo.
  • Wells Fargo Advisors charges account maintenance fees and investment fees that vary by account size and the funds you choose; these reduce your returns over time.
  • You can transfer an existing Roth IRA from another provider to Wells Fargo Advisors without tax consequences, though the process takes one to two weeks.
  • Contributions to a Roth IRA are not tax-deductible, but withdrawals in retirement are tax-free if you follow the rules.

What you need to open a Roth IRA at Wells Fargo Advisors

To open a Roth IRA through Wells Fargo Advisors, you will need to provide your Social Security number, date of birth, and current address. You'll also need to confirm that you had earned income (wages, self-employment income, or taxable alimony) in the year you're making the contribution. Wells Fargo will ask you to verify this information but will not ask you to upload pay stubs or tax returns at the time of opening.

You must be under age 73 to open and contribute to a Roth IRA. If you are 73 or older, you cannot make new contributions, though you can still hold and withdraw from an existing Roth IRA without penalty.

Wells Fargo will also ask you to choose how you want to invest the money—for example, whether you want to buy individual stocks, mutual funds, or ETFs. If you're unsure, you can select a target-date fund, which automatically adjusts its mix of stocks and bonds as you get closer to retirement. This choice is not permanent; you can change your investments at any time after the account opens.

Contribution limits and annual rules

For 2024, you can contribute up to $7,000 to a Roth IRA if you are under age 50, or $8,000 if you are 50 or older. These limits reset each January 1st. You can contribute this amount only if you had at least that much in earned income during the year. If you earned $4,000, you can contribute only $4,000, regardless of the annual limit.

You can make contributions for the current year until April 15th of the following year. For example, you can contribute to your 2024 Roth IRA until April 15, 2025. Wells Fargo will not stop you from contributing after the deadline, but the IRS will count excess contributions as taxable income and charge a 6% penalty each year the excess remains in the account.

If your income exceeds certain thresholds, you may not be able to contribute the full amount or contribute at all. These income limits change each year and depend on your filing status. For 2024, the limits range from $146,000 to $161,000 for single filers, and $230,000 to $240,000 for married couples filing jointly. Check the IRS website or ask Wells Fargo to confirm your specific limit based on your income and filing status.

Fees and costs at Wells Fargo Advisors

Wells Fargo Advisors charges two types of fees: account fees and investment fees. Account maintenance fees typically range from $0 to $50 per year, depending on your account balance and whether you have other Wells Fargo accounts. Some accounts are fee-free if you maintain a minimum balance or set up automatic contributions.

Investment fees are separate and depend on which funds or stocks you choose. Mutual funds and ETFs each have an expense ratio—an annual percentage that comes out of your investment returns. For example, a fund with a 0.5% expense ratio costs $50 per year on a $10,000 investment. Wells Fargo's own mutual funds typically charge between 0.3% and 1.0% per year, while some low-cost index funds charge as little as 0.03% to 0.10%.

Over decades, these fees compound. A 0.5% annual fee on a $100,000 account reduces your long-term returns by tens of thousands of dollars compared to a 0.10% fee. Before you fund your account, ask Wells Fargo for a written breakdown of all fees associated with your chosen investments.

Moving an existing Roth IRA to Wells Fargo Advisors

If you already have a Roth IRA at another bank or brokerage, you can transfer it to Wells Fargo Advisors without triggering taxes or penalties. This is called a direct transfer or trustee-to-trustee transfer. The money moves from your old provider directly to Wells Fargo; you never touch it.

To start a transfer, contact Wells Fargo Advisors and ask for their transfer form. You'll provide information about your old account, and Wells Fargo will request the funds from your old provider. The process usually takes 5 to 15 business days. During this time, your money may not be invested, so you won't earn returns, but you also won't face any tax consequences.

Do not withdraw the money yourself and deposit it into Wells Fargo. If you do, the IRS treats it as a rollover, and you have only 60 days to complete it. If you miss the deadline, the entire amount becomes taxable income and subject to a 10% penalty if you're under 59½.

Withdrawing money from your Roth IRA

One advantage of a Roth IRA is that you can withdraw your contributions (the money you put in) at any time without tax or penalty. If you contributed $50,000 over the years and your account grew to $75,000, you can withdraw the $50,000 without consequences. The $25,000 in earnings, however, is subject to rules.

You can withdraw earnings tax-free only if you are at least 59½ years old and have held the Roth IRA for at least five tax years. If you withdraw earnings before meeting both conditions, you owe income tax on the earnings plus a 10% penalty. There are narrow exceptions—for example, if you're a first-time homebuyer, you can withdraw up to $10,000 in earnings without penalty (though you still owe income tax).

Wells Fargo will process withdrawal requests within a few business days. You can request a check, a transfer to another bank account, or a reinvestment into a different account within Wells Fargo.

Comparing Wells Fargo Advisors to other Roth IRA providers

Wells Fargo Advisors is one option among many. Other large brokerages that offer Roth IRAs include Fidelity, Charles Schwab, Vanguard, and E*TRADE. These competitors often charge lower fees than Wells Fargo, especially for index funds and ETFs. For example, Vanguard's index funds often cost 0.03% to 0.10% per year, while Fidelity offers some index funds with no expense ratio at all.

If you already bank with Wells Fargo and want to keep all your accounts in one place, Wells Fargo Advisors may be convenient. If you prioritize low fees and don't need the integration with a bank account, Fidelity, Vanguard, or Charles Schwab may save you money over time. Use an online fee calculator or ask each provider for a written estimate of total annual costs on your expected investment amount.

Frequently Asked Questions

Can I open a Roth IRA at Wells Fargo Bank, not Wells Fargo Advisors?

No. Wells Fargo Bank offers savings accounts and CDs, but not Roth IRAs. You must open your Roth IRA through Wells Fargo Advisors, the brokerage division. If you want a Roth IRA that functions like a savings account with no investment component, you'll need to look at other providers, though most brokerages require you to invest the money.

What happens if I contribute more than the annual limit?

The IRS charges a 6% penalty tax each year the excess remains in your account. For example, if you over-contribute by $1,000, you owe $60 in penalty tax that year. You can fix this by withdrawing the excess contribution and any earnings on it before your tax filing deadline. Wells Fargo can help you identify excess contributions, but you must request the withdrawal yourself.

Can I have a Roth IRA at Wells Fargo and another brokerage at the same time?

Yes. You can hold Roth IRAs at multiple providers. However, your total contributions across all Roth IRAs cannot exceed the annual limit. If you contribute $4,000 to a Wells Fargo Roth IRA and $3,000 to a Fidelity Roth IRA in the same year, you've contributed $7,000 total, which is the 2024 limit for those under 50. Track your contributions carefully to avoid penalties.

How long does it take to open a Roth IRA at Wells Fargo Advisors?

The online application takes 10 to 15 minutes. Wells Fargo typically verifies your information and activates the account within one to three business days. You can begin investing immediately after activation, though some transactions (like transferring money from another bank) may take a few additional days to clear.

What if I need to withdraw money before age 59½?

You can withdraw your contributions without penalty at any age. Withdrawals of earnings before age 59½ are subject to income tax and a 10% penalty, unless you may have access to for a narrow exception such as a first-time home purchase (up to $10,000 lifetime) or a Roth conversion. Consult a tax professional about your specific situation before withdrawing.