Smarter Way Wealth

Methodology and verification

The calculation should be reproducible.

Here is the public method, calculation order, rounding policy, worked example, and sanitized verification record for the calculator used on this site.

Calculation order

One method, used by both calculator experiences

  1. 1Convert each gross annual return to a true monthly-equivalent rate.
  2. 2Apply the same gross return to both comparison paths.
  3. 3Deduct the flat monthly fee from the Smarter Way Wealth path.
  4. 4Recalculate the marginal advisory fee from the post-growth balance.
  5. 5Calculate fund/ETF expenses separately from that same balance.
  6. 6Deduct both traditional-path charges without rounding intermediate values.

Marginal tiers

Each rate applies only inside its tier

annual fee = Σ max(0, min(balance, upper) − lower) × rate

Curated public vector: $2,500,000

$1,000,000 × 1.50% = $15,000

$1,000,000 × 1.00% = $10,000

$500,000 × 0.75% = $3,750

Annual fee: $28,750 · effective rate: 1.15%

Boundary vector: $1,000,000

Annual fee: $15,000 · effective rate: 1.50%

Boundary vector: $2,000,000

Annual fee: $25,000 · effective rate: 1.25%

Precision and limitations

Raw math first; display rounding last

The production engine retains full JavaScript double precision and does not round intermediate returns, balances, or fees. Currency displayed on the page is rounded to the nearest whole dollar; downloaded visitor results retain raw decimals.

Historical mode uses disclosed S&P 500 calendar-year total returns. It is an educational illustration—not a quote, forecast, recommendation, or guarantee—and it does not model taxes or trading costs.

Fund/ETF expenses are calculated separately. A flat-fee investor holding the same funds would also pay fund expenses, which would narrow the comparison.

Important: Automated verification demonstrates that the published calculator follows the disclosed methodology. It does not constitute review, endorsement, or approval by any regulator. Model version: sww-fee-model-1.0.0.