When I went through my fee reduction exercise, many of my funds were already very low cost. I didn't make changes where I didn't have to. I only replaced funds with fees above 0.10% with a few exceptions. Here is a look at my funds that charge the lowest fees with expense ratios below 0.05%.
As an example of what you could do, let's pick a random fund with a fee above 0.50%. We're going to look to replace an investment you have in Schwab Dividend Equity Fund (SWDSW). This fund charges a 0.88% expense ratio.
Assuming you want to replace it with another dividend fund, you can search your brokerage or a site like Morningstar for other dividend funds. I quickly found the Vanguard High Dividend Yield (0.08% expense ratio) and Schwab US Dividend Equity (0.07% expense ratio) ETFs. Either could be a good alternative to the higher-cost mutual fund.
Don't just buy and sell funds blindly. Take a look at the holdings, history, and mission of the fund to make sure it lines up with your investment goals and would be a good fit in replacing the old, higher-cost fund you are selling.
Stop wasting money on fees
If you could save $100 in fees per year, it would be worth nearly $19,000 over 30 years (at a 10% rate of return). If you have a bigger portfolio and can trim $530 per year in fees, you'll save $100,000 over 30 years!
If you don't know what you're spending on fees or want a little help trimming where you can, Personal Capital is a great tool to help you level up your investments. You might be able to add years onto your retirement with the same level of savings.
Learn more about Personal Capital »