I have been reviewing my 401k options. About a year ago I set up my 401k with all Vanguard Index funds.
The ER's listed were all 0.05 - 0.09 for the Large, Mid and Small cap funds. The international was 0.14.
i recently noticed that my plan sponsor additionally charges 30 base points to each of the aforementioned funds.
Example, for my S&P fund which carries an ER of 0.05 with the base point fee does that in essence make that fund cost 0.35?
is this normal? To me this seems excessive for an index fund but may a standard fee from these companys that manage ones 401k.
thanks,
CJ
The ER's listed were all 0.05 - 0.09 for the Large, Mid and Small cap funds. The international was 0.14.
i recently noticed that my plan sponsor additionally charges 30 base points to each of the aforementioned funds.
Example, for my S&P fund which carries an ER of 0.05 with the base point fee does that in essence make that fund cost 0.35?
is this normal? To me this seems excessive for an index fund but may a standard fee from these companys that manage ones 401k.
thanks,
CJ
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