Annual account service fees | Vanguard (2024)

FAQs

How to avoid fees at Vanguard? ›

If you're the primary account owner, you can eliminate the fee on brokerage accounts by signing up for e-delivery of statements and the annual privacy policy notice; confirmations; reports, prospectuses, and proxy materials; and notices, amendments, and other important account updates.

Investment costs

A few Vanguard mutual funds charge fees designed to help cover high transaction costs and discourage short-term trading.

Purchase & redemption fees

Very few Vanguard funds charge fees when you buy and sell shares. The fees are designed to help those funds cover higher transaction costs and protect long-term investors by discouraging short-term, speculative trading. Fees vary from 0.25% to 1.00% of the amount of the transaction.

Vanguard, the country's second-largest financial-advisory firm, will start charging brokerage-account holders a slew of new fees starting July 1 — including a $100 processing fee to close an account or transfer assets to another firm. That fee, however, will be waived for customers with at least $5 million in assets.

Overall, however, Fidelity is a better fit for investors and traders who want a more high-tech experience, technical analysis tools, advanced charting, and access to a broader range of offerings. In fact, Fidelity is our overall pick for the best online broker in 2024, so it is very hard to beat.

We don't charge any performance fees, exit fees or transfer fees.

But across the board, Vanguard is, I think, still the low-cost provider. Its U.S. average fund-weighted expense ratio is 8 basis points. By contrast, the industry average is 47 basis points.

Rest easy knowing the cash in your Vanguard Cash Plus bank sweep is eligible for FDIC coverage up to $1.25 million for individual accounts and $2.5 million for joint accounts. You can keep all your money in the bank sweep or diversify into 5 available Vanguard money market funds (each with a $3,000 minimum investment).

What is the average account balance at Vanguard? ›

In 2023, the median account balance for Vanguard participants was $35,286 — a 29% increase from a 2022 dropoff, according to Vanguard Group's annual How America Saves report, published Monday. The average account balance was $134,128, up 19% from a year earlier.

Investors with $1 million to $5 million*

You're a Flagship client at Vanguard, which means you get personalized services reserved for our high-net-worth investors. Helping you look at your wealth holistically is important to us.

You'll need to send us a secure message, including the amount you want to withdraw. We'll do the rest for you. The whole process – selling the funds and proceeds clearing in your bank account usually takes 7 to 12 working days depending on the fund's settlement period.

Vanguard - early withdrawal. A distribution from an IRA or qualified retirement plan before the owner reaches age 59½ Generally, a 10% penalty tax is owed on the distribution. Also known as a premature distribution or early distribution.

Yes, you may hold cash in both the Vanguard ISA and the Vanguard General Account – while you decide where to invest, for example, or to pay charges. Cash held in your account will be out of the market and so will not benefit from any market growth whilst not invested.

Choosing low-cost mutual funds, going with passive investments like an ETF or an index fund, and being aware of how much you are paying in fees can go a long way toward reducing the amount you pay to invest. AARP.

We take fees from the General Account before the other types of account so you can make the most of your tax allowances. The General Account should be opened before your ISA or pension, or we will take your first 3 months of fees from those accounts.

Rest easy knowing the cash in your Vanguard Cash Plus bank sweep is eligible for FDIC coverage up to $1.25 million for individual accounts and $2.5 million for joint accounts.