A 1% fee difference doesn't sound like much. Compounded for 25 years, it can be a six- or seven-figure swing.
Scenario A · 1%
$5,745,780
Total fees paid: $686,797
Scenario B · 1.85%
$4,790,279
Total fees paid: $1,137,042
Difference After 25 Years
$955,501
$450,245 more in cumulative fees alone
Educational projection only. Assumes constant fees and constant gross returns; real results vary. Not a representation of any specific advisor's fees. Independent fee-based RIAs and commission-based brokers each have a range of pricing structures — request your Form ADV or fee schedule from any advisor for actual costs.
Related
resource
Every calculator, glossary, and insight in one place — budgeting, retirement, debt, Roth, RSU tax, and more.
resource
Allocate monthly take-home between needs, wants, and savings — with 10-year wealth projection.
resource
Solve for the monthly contribution to hit any savings target by any date.