I got a new job and got enrolled in 401K. It's a Paychex plan for small employers. I am trying to figure out how much fees I will pay over the period of 'x' years. The agent is acting cagey when I asked him about the fees, just reiterating it is a great plan and I should not worry yada yada but that's making me suspicious.
Since there is no Self-Directed Brokerage account within the plan, I am really trying to figure out if I should opt out of the plan. Without knowing a complete fee disclosure yet, I will be paying 1.11% / ~$217 annually (including the expense ratio of the fund I will put money in). If there are other fees then it will add up. I want to calculate if I will be better off paying taxes to Uncle Sam and investing in a regular brokerage account using a tax-efficient index fund rather than paying someone that is not exactly working as a fiduciary. (I make this statement from the funds available in the plan.)
Does anyone have guidance on how I can calculate the fees? I thought a compound interest calculator should do the trick but didn't exactly work as expected.
Thanks in advance.
(P.S. - I will highly appreciate it if commenters refrain from making a generalized statement that I will pay more in taxes to Uncle Sam. I have already heard that a few times but without any evidence in numbers.)
Since there is no Self-Directed Brokerage account within the plan, I am really trying to figure out if I should opt out of the plan. Without knowing a complete fee disclosure yet, I will be paying 1.11% / ~$217 annually (including the expense ratio of the fund I will put money in). If there are other fees then it will add up. I want to calculate if I will be better off paying taxes to Uncle Sam and investing in a regular brokerage account using a tax-efficient index fund rather than paying someone that is not exactly working as a fiduciary. (I make this statement from the funds available in the plan.)
Does anyone have guidance on how I can calculate the fees? I thought a compound interest calculator should do the trick but didn't exactly work as expected.
Thanks in advance.
(P.S. - I will highly appreciate it if commenters refrain from making a generalized statement that I will pay more in taxes to Uncle Sam. I have already heard that a few times but without any evidence in numbers.)