Compare the cost of Vanguard PAS (advisory fee plus fund expenses) with a self-managed three-bucket Target Date strategy
Compare the same portfolio return under two cost structures. PAS costs include an editable advisory fee plus the weighted expense ratio of its underlying funds. The self-managed portfolio incurs only its Target Date fund expense. Defaults are planning assumptions; the 0.08% PAS fund expense is generic, not your verified actual expense. Enter the rates for your own holdings. Vanguard explains that investment expense ratios are separate from its advisory fee.
Figures are nominal dollars. Each modeled year applies growth first, charges fees once on the grown balance, then funds the scheduled withdrawal from remaining assets. This annual approximation does not model monthly January cash-flow timing. Ending balances exclude money already withdrawn; compare the income totals as well. Withdrawals begin in the selected calendar year.
You can allocate your self-managed portfolio across conservative (Income / 2020), moderate (2025–2035), and aggressive (2040–2070) Target Date funds. The selected Target Date expense ratio is applied once to each bucket; no advisory fee is added.
PAS Modeled All-In Annual Cost: 0.38%
Advisory fee plus underlying fund expense, based on the entered assumptions; not a universal Vanguard fee.
Legacy percentage-withdrawal scenario. The original calculations are retained. Switch to dollar withdrawals for a common spending plan.
Allocate what share of your portfolio would go into conservative, moderate, and aggressive Target Date funds. Percentages are normalized to 100%; the final percentages shown below are used in the calculation.
Three-Bucket Strategy: Retirement withdrawals are taken from the Conservative bucket first, then Moderate, then Aggressive. This allows longer-term investments more time to remain invested. Buckets are not automatically replenished or rebalanced. All three use the same expected return and fund expense. Sequencing organizes withdrawals; it does not assume that the buckets earn different returns or increase total investment performance.
RonBelisle.com — educational planning illustration. Review the displayed inputs, timing, assumptions and supported statutory scope. Results are estimates, not guaranteed outcomes or personalized advice. Retain scenario inputs with this printout.