How much are high fees costing you?
A small-sounding fee often has massive costs. The average mutual fund in Canada charges roughly 2% a year, while a low-cost index fund is often around 0.2%. Change the fees below to match your own situation and see what that difference adds up to over time.
How this works. Each month your balance grows at the expected return, then the fee is charged on the balance, then your contribution is added. Returns are assumed steady, which never happens in real life, so treat the result as an illustration of how fees compound, not a prediction.
This is general education, not personal financial, investment, or tax advice. Your own situation, fees, and returns will differ.
Want the story behind these numbers? I wrote about what a 2% fee really costs over a lifetime, and why it pulled me into financial planning.
Read: The real cost of a 2% fee