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Question: Are fees paid for investments, like a 401k, tax deductible?

(Posted by: Mel on 2010-09-05 16:04:30)

Posted by: the tax lady on 2010-09-05, 16:08:02

No. 401K fees are paid from the money inside the 401K. Less money, less tax when you take it out, but no separate deduction now. If you have a separate brokerage account and pay, say, $100 annual fee to keep it open, you can deduct the $100 if the investments are taxable to you, but even then you have to put it in the 2% section of schedule A and very people exceed 2% of their AGI, let alone itemize.

Posted by: drive_55_not on 2010-09-05, 16:09:30

Non 401k Administrative fee's are deductible that are above 2% of your AGI ... ..

Posted by: Sharon T on 2010-09-05, 17:18:48

Only if they are paid from after-tax dollars. If they are charged to the account, they are not deductible. Unless the fees are high, it is not likely they'll exceed the 2% of AGI floor anyway.