Our account fee is based on assets under management (AUM). It is based on the participant’s balance on the last day of the calendar month. Once we have the balance, we calculate 8 basis points (0.08%) and then divide that number by 12 (to take into account the number of months in a year). The formula applied monthly is month-end balance * .0008 / 12 = account fee.
The fee comes out to about 67¢ per month for every $10,000 invested.
This information is for illustrative purposes only and does not represent the actual costs you may incur as a Guideline client. Information shown here assumes a static balance of $10,000 per month, an annual account fee of 0.08% on assets under management (calculated and deducted on a monthly basis at 1/12 of the annual stated rate (0.08%)) based on the month-end account balance, and does not account for common factors that affect the value of your account balance over time such as gains, losses, distributions, additional contributions, etc., and is not intended to constitute investment advice nor an assurance or guarantee of future performance. The fee presented does not include other fees that a 401(k) participant may incur, including, but not limited to, from mutual fund expense ratios and a monthly maintenance fee to participants who end employment.