thinkorswim (now under Schwab) and tastytrade are the two platforms most serious retail options traders end up comparing. They serve different use cases, and choosing the wrong one is a common and correctable mistake.
The Short Answer
- tastytrade wins on: commission structure, probability analytics, portfolio Greeks, position management
- thinkorswim wins on: charting, custom scripting, research tools, futures, global access
- Many serious traders use both – tastytrade for execution, thinkorswim for analysis
- Commission difference: tastytrade $1 open/$0 close vs. thinkorswim $0.65 each way
Side-by-Side Comparison
| Feature | tastytrade | thinkorswim |
|---|---|---|
| Options (open) | $1.00/contract | $0.65/contract |
| Options (close) | $0 | $0.65/contract |
| Stocks | $0 | $0 |
| IV Rank / IV %ile | Yes (native) | Yes (native) |
| Probability of Profit | Yes (native) | Manual calculation |
| Portfolio Greeks | Yes | Yes |
| Charting depth | Basic | Industry-leading |
| Custom scripts/indicators | No | Yes (thinkScript) |
| Paper trading | Yes | Yes |
| Futures trading | Yes | Yes |
| 0DTE support | Yes | Yes |
Commission Math for Active Traders
The commission comparison depends heavily on how many contracts you trade and whether you close early:
- A 10-contract iron condor at tastytrade: $10 open, $0 close = $10 total (if closed at 50% profit)
- Same trade at thinkorswim: $6.50 open, $6.50 close = $13 total
- At 20 trades per month, tastytrade saves roughly $60/month vs. thinkorswim for this trade size
The math flips if you consistently hold to expiration – tastytrade’s $0 close benefit disappears, and the $1 open is more expensive than $0.65. Most active premium sellers do close early, making tastytrade more cost-effective in practice.
Platform Experience
tastytrade: Built for Execution
tastytrade’s interface is optimized for finding, entering, and managing options positions quickly. The “Follow” feed lets you see what tastytrade personalities are trading, which some find educational. The positions screen shows everything relevant to position management in one view. It is fast and purpose-built.
thinkorswim: Built for Analysis
thinkorswim is unmatched for traders who build custom technical setups. thinkScript allows you to write your own indicators, scans, and alerts. The charting depth – multiple chart types, hundreds of built-in studies, drawing tools – is the best available on any retail platform. The tradeoff is a steeper learning curve and a more cluttered interface.
The Verdict
If you trade primarily defined-risk options strategies and value clean probability analytics and commission efficiency, tastytrade is the primary platform. If you are a technical trader who needs deep charting and custom scripting, or you trade futures alongside options, thinkorswim is the stronger environment – and worth the slightly higher commissions.