Halfmore facilitates the creation of IRS-compliant household employment for children to fund custodial Roth IRAs. The platform manages payroll, tax documentation, and automated contributions to the parent's brokerage of choice. This service enables early wealth-building for children while instilling financial literacy through earned income from chores.
Funding
$1.1M raised to dateRaised to date based on public sources. This may differ from the amount the company actually raised and is based only on what is publicly available on the internet.
Founders
Product
Problem
Many children lack the opportunity to build long-term savings due to the absence of earned income, which is a prerequisite for opening a custodial Roth IRA. Wealthy families often leverage legal means to employ their children, enabling them to contribute to Roth IRAs and benefit from tax-free growth, a strategy not easily accessible to all families.
Solution
Halfmore provides a platform that simplifies the process of legally hiring children for household chores, converting these tasks into IRS-compliant earned income suitable for custodial Roth IRA contributions. The platform automates chore management, payroll processing, and tax form generation, ensuring compliance with labor laws and IRS requirements. By facilitating early Roth IRA contributions, Halfmore enables families to maximize the potential for tax-free compound growth, helping children build substantial retirement savings. The service handles the complexities of legal arrangements, work history documentation, and tax filings, making it convenient for parents to assign chores and manage their child's employment.
Target Audience
Halfmore's primary customers are parents who want to provide their children with the opportunity to build long-term, tax-advantaged savings through custodial Roth IRAs.
Features
- Legal arrangement setup to legally hire children for household tasks
- Chore management tools to assign, track, and document completed chores
- Automated payroll processing to convert chores into earned income
- Generation of IRS-ready work history documents, including W-2s
- Tax form generation for federal and state tax filings
- Custodial Roth IRA setup guidance
- Mobile app for task management, compensation tracking, and record maintenance
- Educational tools to teach children about money, work ethic, and long-term planning