Need help with Ideco commissions -

[RMA]

Hello everyone,

My Ideco account was set up through MONEX recently and the first contribution was deducted from my bank account on 28th June. Today when I logged in to JIS&T website to check my portfolio, I was surprised to find out that they have deducted JPY 2,934 as a commission. Is this normal in case of first contribution or I should be calling them to figure this out?

I have selected following contribution plan:

Ａ 026 三菱Ｕ国際スリム全世界株式 - 70％ - 16,100円
Ｂ 025 三菱Ｕ国際スリム米国ＳＰ５００ - 20％ - 4,600円
Ｃ 011 三菱Ｕ国際スリム先進株マネＤＣ - 10％ - 2,300円

[fools_gold]

It's perfectly normal. It's a one-off payment made to the National Pension Association when you first start up. It's listed in the fees here.

[RMA]

It's perfectly normal. It's a one-off payment made to the National Pension Association when you first start up. It's listed in the fees here.

Thank you for replying. Appreciate it!

[beanhead]

After that first month, most places will charge 171yen per month handling fee.

https://www.dcnenkin.jp/search/commission.php

[JapaneseMike]

After that first month, most places will charge 171yen per month handling fee.

https://www.dcnenkin.jp/search/commission.php

For those of us who can only contribute 12,000 a month to iDeCo, the 171 yen per month fee is a real pain....

[RetireJapan]

After that first month, most places will charge 171yen per month handling fee.

https://www.dcnenkin.jp/search/commission.php

For those of us who can only contribute 12,000 a month to iDeCo, the 171 yen per month fee is a real pain....

Soon becomes insignificant though. First month 1.5%ish; second month, 0.75%ish; third month 0.375%ish... (of total assets).

After a couple of years it's a rounding error.

[JapaneseMike]

Soon becomes insignificant though. First month 1.5%ish; second month, 0.75%ish; third month 0.375%ish... (of total assets).

After a couple of years it's a rounding error.

Yeah, fair point, I hadn't really looked at it, I just figured I'm investing less because of fees, so therefore my return is less.

I did a 20 year future value of increasing investments of 171 yen per month, well, simplified to 2052 yen a year in truth), and it's a total of 41,040 yen in cash, turning into a future value of 90,011 assuming 7% annual return.

Using the same assumptions for the principal of 12,000 /month / 144,000/year (investment 2.88mil) gives a future value of 6.316,585, so yeah, 900 bucks out of 63k (back of envelope FX) is a drop in the ocean.

Thanks for your insight