Fidelity Youth^® FAQs

Fidelity Youth^® is an app designed to help teens ages 13–17 manage and invest their money while developing lifelong money skills and habits.

The app is where teens can access the Fidelity Youth® Account: a teen-owned brokerage account that lets teens save and invest in one account. Teens can also request a debit card to spend from their account.¹

The Fidelity Youth^® Account is a teen-owned brokerage account that lets teens save and invest in one account. Teens can also request a debit card to spend from their account. It is not a joint account or a custodial account. There are no subscription fees, no account fees, and no minimums to open the account². The teen is the owner of the account and has control over it (i.e., they are the sole decision maker, not the teen's parent or guardian).

Teens without a smartphone can access the Fidelity Youth^® app from a tablet. The account can also be accessed on Fidelity.com, with a more limited functionality than in the app.

The Fidelity Youth^® Account is a teen-owned taxable brokerage account. It is owned by the minor, who makes all the investment decisions. This is different from a Roth IRA for Kids, which is a custodial account that an adult opens and manages on behalf of a child under age 18 who has their own employment compensation.³ Earnings in a Roth IRA for Kids grow federal tax free; qualified withdrawals are also tax free.⁴

Parents have certain controls over a teen's Fidelity Youth^® account. They must initiate and approve the opening of the account. They will retain the ability to close the account and/or cancel the debit card at any time, if their teen has one. They will have "inquiry access" to the account as an Interested Party, allowing them to review debit card statements, trade confirmations, and account transactions. The parent/guardian is designated as the "trusted contact" on the account and can be contacted should a situation concerning the teen's welfare arise. However, the parent/guardian of the Fidelity Youth^® Account cannot transact in the account or withdraw money from the account.

The parent of a Fidelity Youth^® Account owner can see their teen's watchlist, investments, balances, and account activity in the app, and will receive statements and notifications through the platform or channel used by the parent (e.g., the Fidelity Youth^® app, Fidelity.com, and/or via email).

Parents are obligated to provide supervision/oversight and to be responsible for their teen's actions. In any instances of suspected fraudulent activity on the account, the parent/guardian will be the main point of contact. The parent/guardian should review the Fidelity Youth^® Account Parent Agreement (PDF) for more information.

The teen will not have visibility into the parent's account in the Fidelity Youth^® app.

Teens will not be able to view other Fidelity accounts (besides their Fidelity Youth^® Account) in the Fidelity Youth^® app. However, if they log into the Fidelity mobile app or Fidelity.com, they will have access to view the following:

• Accounts established under the Uniform Gifts to Minors Act (UGMA) or the Uniform Transfers to Minors Act (UTMA) where the teen is the named beneficiary.
• Any UGMA or UTMA 529 custodial account where the teen is the named beneficiary. Note: Non-custodial 529 plans will not be visible.
• Any Roth IRA for minors established for the teen.
• Any IRA where the original account holder is deceased, and the assets have passed to the teen as the named beneficiary on the account.

At this time, only one parent/guardian can be named as the Interested Party on a Fidelity Youth^® Account. Changes to the parent/guardian identified as the Interested Party cannot be made except in cases of death or disability.

When a teen with a Fidelity Youth^® Account turns 18, their account is eligible to convert to the regular Fidelity brokerage account with expanded features like option and margin trading.

The teen will be prompted to convert their account starting on their 18th birthday. They will have 60 days to do so before their ability to trade and their debit card (if they have one) will be restricted. Once the account is converted, any debit card that the teen was issued for their Fidelity Youth^® Account will continue to be valid until it expires; at that point, a new debit card will be issued.

Once a teen turns 18, the teen may choose whether the parent/guardian will continue to have access to that teen’s Fidelity Youth^® Account information. Teens can still use the Fidelity Youth^® app when they turn 18; however, additional capabilities are available to them in the Fidelity Mobile^® app.

Fidelity brokerage accounts are covered by SIPC. This includes money market funds held in a brokerage account since they are considered securities. Learn more about SIPC coverage at www.sipc.org.

The parent must have some form of retail brokerage relationship with Fidelity to open a Fidelity Youth^® Account. With The Fidelity Account^® and the Fidelity^® Cash Management Account, parents can easily transfer money to their teen. Parents can open The Fidelity Account^® at the same time as they open their teen's Fidelity Youth^® Account.

Should the parent/guardian decide to end their retail relationship with Fidelity, the Fidelity Youth^® Account will remain open for the teen. Until the teen turns 18 and converts the account to a standard brokerage account, the parent will remain associated with the account, will continue to have access to it, and be responsible to oversee and supervise the account. While the parent is associated with the account, their Fidelity login credentials will remain active.

No. Fidelity Youth^® Accounts are only available to US residents with a US address.

The funds in the account belong to the teen. Both the parent/guardian and the teen should consider the tax consequences of funding the account. Earnings on the account may require the teen to file a tax return and pay taxes on those earnings, or, if the parent and teen meet certain requirements, the parent may elect to include such earnings on their tax return to pay the applicable taxes.

Additionally, funds used to open the account may be subject to gift taxes if given by the parent/guardian or other third party. This is only a summary of some of the tax implications of opening a Fidelity Youth^® Account. Parents should consult their tax advisor regarding the federal, state, and local tax consequences and/or potential impact to future student aid by opening an account with respect to their personal situation.

To ensure a smooth account opening process, please check the following:

• Make sure you have submitted an unexpired photo ID for your teen.
• If you opened a Fidelity Youth^® Account in the past but your teen did not activate the account, please call 800-343-3548.

If you received an error message when submitting your Fidelity Youth^® Account application, check if you already have an account for your teen, such as a UGMA, UTMA, or a Roth IRA for Kids. If so, your teen's Social Security number and name are registered with Fidelity and you will need to call Fidelity at 800-343-3548 so we can complete the account opening process for you.

If your teen did not receive a welcome email/text, then they should follow these steps to activate their account:

• Download the Fidelity Youth^® app
• Create a username and password (they will need the last 4 digits of their SSN)
• Log in to the app and accept the Terms of Agreement

If a member of the household works in the financial services industry, we recommend consulting with that company's Legal and Compliance department to find out if you should report the opening of a Fidelity Youth^® Account to that employer.

During the online account opening process, you (parent/guardian) will need to upload a photo ID of your teen, such as an unexpired driver's license, passport, birth certificate, or school ID. You will also be able to submit this later on, if necessary, in the "Your Transactions" page on Fidelity.com. Or you can download and log in to the Fidelity Youth^® app, where you will be prompted to upload the document.

Please log in to the Fidelity Youth^® app where you will be prompted to upload your teen's unexpired photo ID.

Although you typically only need a Social Security number to open a standard Fidelity brokerage account, Fidelity is required to comply with antimoney laundering regulations. Our approach is to attempt to verify the required information via non-documentary means. Your teen's age may prevent Fidelity from verifying the required information electronically, so we require additional documentation to verify their identity.

In rare instances, you may also need to provide an image of your teen's social security card. If this happens, we will notify you via email.

Your teen is our customer, and we need their contact information to communicate with them, as we would any other customer. This may include sending them certain required account information, such as statements and trade confirmations, and notifying them of any issues with their debit card, if they have one. In addition, in order to create their username and password, we will send a code to their phone during the verification process; this is needed to complete the setup of the Fidelity Youth^® Account.

Yes, as a condition of opening the Fidelity Youth^® Account, both you (parent/guardian) and your teen must consent to electronic delivery.

We use email as the primary communications method to notify account holders of features and updates regarding the Fidelity Youth^® Account. Fidelity will not use your teen's information to directly market other financial service products to them. It is possible, however, through the normal course of the customer relationship, that your teen may see general Fidelity marketing (e.g., banner ads, social media posts).

A parent/guardian can add money to a teen's Fidelity Youth^® Account by transferring money from their Fidelity account. A teen can add money to their own Fidelity Youth^® Account by transferring money from the teen's outside bank account via electronic funds transfer (EFT) or by depositing a check into the Fidelity Youth^® Account. Teens can also add money to their Fidelity Youth^® Account by trading in gift cards for cash.

Note: There is generally a $30K annual deposit limit for Fidelity Youth^® accounts.

Teens can select Transact > Request money in the Fidelity Youth^® app to request money from their parent.

Requests can only be fulfilled by the parent whose eligible retail brokerage account (i.e. The Fidelity Account^® and the Fidelity^® Cash Management Account) is linked to the teen's Fidelity Youth Account. Parents must first complete the account linking process and download the Fidelity Youth app before they can transfer money.

The teen will enter the dollar amount they are requesting and can include a message telling the parent what it's for. A link will be generated to text to their parent. If the parent decides to honor the request in the Fidelity Youth^® app, once the transfer has been sent, the transaction details can be reviewed in the Activity section of the app.

Once a parent's Fidelity account is linked to their teen’s Fidelity Youth^® Account, money sent by the parent will instantly transfer to the teen. Please note, transfers greater than $500 may take longer to process. Transfers made from external (non-Fidelity) accounts via EFT (electronic funds transfer) or wire may vary in processing time.

This may be because the teen's Fidelity Youth^® Account is not yet activated. To activate their account, teens must first download the Fidelity Youth app, create a username and password (requires last 4 digits of their SSN), log into the app, and accept the Terms of Agreement.

Before transferring money, parents need to link their eligible Fidelity account(s) to their teen's Fidelity Youth^® Account. Parents can do this in the Fidelity Youth app by navigating to Transact > Transfer money, selecting their Fidelity account in the "From" field, and then selecting "Link to your teen’s account" in the "To" field. The account linking process can also be completed onlineLog In Required.

Parents can send their teen allowance on a weekly or bi-weekly basis in the Fidelity Youth^® app by selecting Transact > Manage allowance. Once the teen turns 18, the allowance feature will stop automatically. Parents can still set up a recurring transfer if they'd like after the teen turns 18, on Fidelity.com or the Fidelity mobile app.

If a parent wants to send their teen a monthly allowance (or another frequency than weekly or bi-weekly), they can do this via a recurring transfer by selecting Transact > Manage recurring transfers & investments.

Yes, a parent can pause or edit their teen's allowance by selecting Transact > Manage allowance.

Parents can only set up allowance from a Fidelity account that is linked to their teen's Fidelity Youth^® Account. However, they can set up a recurring transfer from an outside bank to their Fidelity account by selecting Transact > Manage recurring transfers & investments to ensure there is enough money in the Fidelity account to fulfill the allowance transfer.

The parent will need to fill out the Standing Transfer Instructions form (PDF) to set up a link between their Fidelity trust account and their teen’s Fidelity Youth^® Account.

Anyone other than the parent who opened the Fidelity Youth^® Account can contribute to the teen’s account by writing them a check. The teen can then deposit the check into their account by selecting “Deposit a check” in the Transact menu of the Fidelity Youth app.

Money buckets allow teens to set aside money for specific things they want to save for while keeping their funds accessible within the same account. For example, a teen could create a money bucket for “Shoes,” which would display as a separate bucket from their default Spending money bucket.

Teens may create up to five buckets in addition to their default Spending money bucket. Keep in mind that buckets work like subcategories within the Fidelity Youth^® Account, which means parents cannot view their teen’s money buckets.

Automated saving, or “auto-save,” is a feature that allows teens to put a percentage of all incoming money toward a particular money bucket that they have created. Auto-save can be enabled for any bucket other than the default Spending money bucket.

When setting up auto-save, teens will set a percentage of the money that comes into their account to automatically be allocated to a bucket of their choosing—for example, they could decide to allocate 30% of incoming money towards their “Shoes” bucket. Teens can change the percentage and/or the bucket selected for auto-save at any time. Auto-save can be applied to only one bucket at a time.

If a teen has set up money buckets, money will always come out of the Spending money bucket first. Teens can specify the order in which money is withdrawn from their other buckets (if they have created multiple buckets) once the Spending money bucket is depleted.

When auto-save is selected for a given bucket, that bucket will automatically fall to the bottom of the priority order list—meaning it will be the last bucket from which money is withdrawn, should all other buckets be depleted.

Teens can always reorder their buckets. Any new buckets created after they set their bucket priority order will be added after previously established buckets and before the auto-saved bucket. Auto-save can only be applied to one bucket at a time.

If a teen tries to spend more money than what is available in their account (specifically, in their cash balance), their debit card will be declined.

It’s important to note that the total cash balance is available for spending with the debit card, regardless of how that cash is divvied up between buckets. If, for example, a debit card purchase uses up all of the available funds in a teen’s Spending money bucket, money will then be withdrawn from the teen’s other buckets according to the priority order that the teen has specified.

Teens can request a debit card in the Fidelity Youth® app or online. Teens will receive their debit card approximately 7–10 days after they request one.

Yes, online card management is available for card activation, viewing card limits, managing PINs, locking and unlocking the card, replacing the card if lost, stolen, or damaged, and managing travel preferences. Debit card usage alerts (for debit transaction notifications) are also available but must be set up in the Alert Center on Fidelity.com.

The Fidelity Youth® Account debit card is subject to daily transaction limits (both individual and gross daily). Your teen can view the daily limits and remaining balance associated with the debit card on the Fidelity debit card page.¹ Daily limits reset each day at 12:00 midnight ET. Daily limits are subject to the Available to Withdraw balance in the account.

For debit card issues, teens can contact Fidelity Debit Card Services using the number located on the back of their card or 800-323-5353. When placing the call, the teen should have their debit card number, the last 4 digits of their Social Security number, and their Fidelity account number. If the teen needs assistance, they can consent to allow their parents to join the call to provide instructions or act as the primary point of contact if follow-up is needed.

Teens can add their Fidelity Youth^® Account debit card to a digital wallet for a safe, convenient, and easy way to pay. They can set this up through their digital wallet on their mobile device (such as Apple Pay or Google Pay).

Teens can invest in:

• Fidelity mutual funds
• Most US stocks
• Some exchange-traded funds (ETFs)
• REITs
• Some international equities

Teens cannot invest in:

• Third-party mutual funds
• Corporate bonds
• Municipal fixed income securities
• Certificates of deposit (CDs)
• Treasuries
• Convertibles
• Leveraged and inverse ETFs
• Cryptocurrencies
• FILI Insurance products
• Penny stocks (stocks valued at $5/share or less)
• Foreign currencies

Additionally, teens cannot engage in options or margin trading or short selling, or participate in a company's IPO.

Teens can visit the Learn section of the Fidelity Youth^® app for educational resources to help them get started with investing and build other money skills and habits.

Once the parent/guardian completes the application process and submits the required documents, the teen will receive an email/SMS text with next steps. Note: If all steps are not completed, the account will not be available to receive funds or trade.

Then, the teen will need to:

• Download the Fidelity Youth^® app
• Create a username and password (last 4 digits of teen’s SSN needed)
• Login and accept the Fidelity Youth^® Account Terms of Agreement

Teens can then begin to invest once the account is funded. 

Note: Before your teen begins investing, please ensure that they are in fact ready to invest. Help them understand that investing involves risk and that they can lose money. Teens can explore the Learn section in the Fidelity Youth^® app for content to help them understand more about investing and finances.

Teens can start investing in their Fidelity Youth^® Account with as little as $1 with fractional shares.⁵

Currently, there are no limits on the number of trades a teen can place (Note: There is generally a $30,000 maximum that can be added to the account annually). However, there are certain rules teens need to follow in order to avoid trading violations. The following are three potential violations to be aware of:

• A good faith violation is when someone buys a security (like a stock or a fund) and sells it before paying for the initial purchase in full with settled funds. Only cash or the sales proceeds of fully paid for securities qualify as “settled funds.”
• A freeriding violation is when someone buys securities and then pays for that purchase by using the proceeds from a sale of the same securities.
• A cash liquidation violation is when someone buys securities and covers the cost of that purchase by selling other fully paid securities after the purchase date. This is considered a violation because brokerage industry rules require you to have sufficient settled cash in your account to cover purchases on the settlement date.

There is no minimum balance requirement. There is a maximum deposit limit of generally no more than $30,000 added to the account per calendar year. We will monitor account deposits and reserve the right to restrict additional deposits and trading capabilities if annual activity exceeds this limit. If more than $30,000 is added annually, the parent and teen will be notified to remove additional funds.

There is a maximum deposit limit of no more than $30,000 per calendar year. We will monitor account deposits and reserve the right to restrict additional deposits and trading capabilities if annual activity exceeds this limit.

The debit card has daily spending limits (both individual and gross daily) for transactions and cash withdrawals. There are no limits on withdrawals by other means (e.g., check, EFT, wire). Transfer of securities in kind out of the Fidelity Youth^® Account is prohibited.

Teens may participate in corporate actions or proxy voting, as this comes with the territory when investing. However, your teen should work with their parent to decide whether this makes sense for them.

Fidelity Basket Portfolios for Teens are an investing product available to Fidelity Youth Account holders. With baskets, teens can purchase a collection of 10+ securities at once and manage them like a single investment. Fidelity decides what goes into each basket, in what proportions, using a set methodology.

With baskets, teens get a more diversified mix of investments than they would by investing in one stock or ETF at a time—and diversification may help reduce volatility over time. Diversification and asset allocation do not ensure a profit or guarantee against loss.

Fidelity Basket Portfolios for Teens offer a subset of the functionality that Fidelity Basket Portfolios offer. Some of the baskets (models) available to adult Fidelity Basket Portfolio enrollees are available to teens in the Fidelity Youth app, but not all.

Fidelity Basket Portfolios for Teens are an enhancement to an existing Fidelity Youth^® Account with no enrollment fee, no additional account fees, no account minimums², and no trade commissions⁶ for online US stocks or ETFs. Teens can invest as little as $1.00 per security. Fidelity Basket Portfolios for Teens are only available to teens (ages 13-17) who have an active Fidelity Youth^® Account.

Adult Fidelity customers (ages 18+) may access basket trading capabilities with Fidelity Basket Portfolios, which require a $4.99/month enrollment fee (after a free 30-day trial). There are no additional account fees, no account minimums² or trade commissions⁶ for online US stocks or ETFs, and you can invest as little as $1.00 per security and create as many baskets as you'd like.

Unlike Basket Portfolios for Teens, Fidelity Basket Portfolios (ages 18+) may be fully customized: Fidelity Basket Portfolio investors may adjust holdings and weights, build a basket from scratch, and trade with one click.

Lastly, adult Fidelity customers (ages 18+) may also opt to enroll in Fidelity Managed FidFolios^®. Fidelity Managed FidFolios^® are a type of digital separately managed account designed for clients who are looking to own a professionally managed portfolio of stocks. When you enroll in Fidelity Managed FidFolios^®, you’re hiring a team of experienced professionals to take care of the day-to-day investment decisions, based on the strategy you select that's personalized around your investment preferences.

Upon a teen’s 18th birthday, and once having successfully converted their Youth Account to a standard brokerage account, any positions held within a teen’s Youth Basket(s) will be retained but the basket itself will be removed. In other words, they will continue to hold the stocks and/or ETFs that were contained within the basket—but they will no longer have access to the basket trading functionality.

Once their account has been converted, should they choose to do so, the account holder may then enroll in the 18+ Fidelity Basket Portfolios offering.

In early 2025, Fidelity will stop maintaining three models (baskets) that were previously available to Youth Account holders: Gaming, social media & connectivity; Entertainment; and Clothes, shoes & beauty.

If your teen is invested in one or more of these baskets, they don’t have to do anything. However, they will have the option to rebalance or buy into a different—but similarly-themed—model that contains a larger number of stocks as of March 12, 2025.

Rebalancing is a transaction that aligns an owned basket to the model that Fidelity analysts maintain, which dictates which stocks are included in the basket in which proportions. Before placing a rebalance order, your teen will be able to review the changes to the basket (including each of the buy and sell orders that will result).

If they choose to do nothing, your teen will continue to hold the same number of shares of the same stocks in their current basket—but they won’t be able to rebalance to the old model, since the old model will no longer be maintained by Fidelity.

Teens can always sell all of the shares (a.k.a. sell out of the basket) or sell individual stocks from the old model.

If they choose to rebalance the basket or buy more on or after March 12, 2025, they will adopt the new model and funds will be allocated across the securities contained in that model, in the proportions the model dictates.

Rebalancing to the new model could cause some of the securities in the current basket to be sold entirely and replaced. In all cases, by adopting the new model, they will purchase more securities—but the rebalance transaction will attempt to keep the total dollar amount invested in the basket the same.

For example, if they have $100 invested in the current basket and rebalance and adopt the new basket, they’ll still have $100 invested (but divvied up across more stocks). Keep in mind that the new model may have a higher minimum investment amount than what is currently invested (due to the model containing more stocks).

Here’s what each of the affected models will update to if your teen chooses to rebalance or buy more on or after March 12, 2025:

• Gaming, social media & connectivity: If they rebalance or buy more, they will adopt the Media & entertainment basket.
• Entertainment: If they rebalance or buy more, they will adopt the Media & entertainment basket.
• Clothes, shoes & beauty: If they rebalance or buy more, they will adopt the Consumer discretionary basket.

Your teen may continue to rebalance to the old model with fewer securities up until March 11, 2025.

The changes described above will not impact ETF model portfolios.

Teens can earn money in the app with Learn & Earn. Teens can earn $2 per level by completing learning modules within the Learn section of the app.

Teens can earn $2 per level by completing learning modules within the Learn section of the app. We believe it’s so important for teens to learn about money that we’re willing to give it away!

Reward amounts are calculated and deposited to the teen's Fidelity Youth^® Account upon completion of each module. Once teens complete a module and receive their reward for that module, they will no longer be eligible for additional reward dollars for that module if they choose to retake it.

Fidelity has teamed up with CardCash, a third-party company, to allow teens to exchange gift cards for cash. The money will be deposited directly into the teen’s Fidelity Youth^® Account. CardCash has their own Terms and Conditions outlined in the app.

Teens can check out the Learn section of the Fidelity Youth^® app, featuring videos, articles, knowledge quizzes, and more on topics like spending, saving, and investing smarter. Teens also earn $2 per level when they complete Learn & Earn lessons.

All standard account-related correspondence will be provided to teens (e.g., brokerage account statements, tax report notifications, trade notifications). Debit card usage alerts (for debit transaction notifications) are also available but must be set up by your teens in the Alert Center.

Once the teen reaches age 18, the Fidelity Youth^® Account must be converted to a standard Fidelity brokerage account. The assets will stay in the same account and keep the same account number/login credentials. Teens can still use the Fidelity Youth^® app when they turn 18; however, additional capabilities are available to them in the Fidelity Mobile^® app. As the account owner, the teen will need to agree to a new set of governing documents, including a new account agreement. They will be prompted to convert their account starting on their 18th birthday. If they have a Fidelity Youth^® debit card, it will continue to be valid until it expires. At that point, a new brokerage debit card will be issued. They can access information about their card on the debit card page.¹

The Fidelity Youth^® Account is not a custodial account, and the state law definitions of age of majority that pertain to the transition of custodial accounts do not apply to Fidelity Youth^® Accounts.

On the teen's 18th birthday, their Fidelity Youth^® Account will be restricted from making any purchases of additional securities (including execution of open orders). If the account has not yet been converted sixty days after the teen's 18th birthday, Fidelity will prohibit deposits and deactivate the debit card, if they have one. The teen will always be able to sell their holdings. Until the account is converted, the parent/guardian will remain associated with and will continue to have access to the account.

Either the parent/guardian or the teen can close the Fidelity Youth^® Account at any time. When the account is closed, any securities in the account must be sold and the proceeds will be disbursed by check in your teen's name. Securities cannot be transferred in kind. The account can be closed by contacting a Fidelity representative at 800-343-3548 or using our virtual assistant in the Fidelity Youth^® app.