Investment Fees and Returns
Use this calculator to see how a difference in fees affects investment growth.
Initial investment (maximum value $1,000,000)
Annual investment (maximum value $100,000)
Years of growth (maximum 50 years)
Rate of return (maximum value %)
Lower investment fee (maximum value 10%)
Higher investment fee (maximum value 10%)
|
50,000
|
|
5,000
|
|
25
|
|
6.00%
Input Error: Rate of return
Enter a value between and %. |
|
1.00%
Input Error: Lower Fee
Enter a value less than 2.00. |
|
2.00%
Input Error: Higher fee
Enter a value more than 1.00. |
| Lower Fee | Higher Fee | |
| Rate of return | 6.00% | 6.00% |
| Investment fee | 1.00% | 2.00% |
| Net rate of return | 5.00% | 4.00% |
| Investment value in years | $407,953 | $341,521 |
| Difference | $66,432 |
Investment Value in 25 Years
Lower Fee
Higher Fee
Difference
Results
The investment with a 1.00% fee will grow to $407,953 while the investment with a 1.00% fee will grow to $341,521, a difference of $66,432
The investment with a 1.00% fee will grow to $407,953 while the investment with a 1.00% fee will grow to $341,521, a difference of $66,432
Assumptions
The most common fee charged to manage mutual fund investments is the Management Expense Ratio (MER). Annual investments are made at the end of each year. Investment growth is tax-deferred.
Disclaimer
The most common fee charged to manage mutual fund investments is the Management Expense Ratio (MER). Annual investments are made at the end of each year. Investment growth is tax-deferred.
Disclaimer
