Stock commissions.

[Umbra]

With a Roth IRA you can contribute $4k maximum. But what about the stock commissions? Do they count towards the $4k or not? So you buy four stocks and each has a $20 commission. Does the $80 count towards the Roth IRA, or can you just ignore it and contribute another eighty bucks? Hopefully this isn't too confusing.

[jrwilheim]

With a Roth IRA you can contribute $4k maximum. But what about the stock commissions? Do they count towards the $4k or not? So you buy four stocks and each has a $20 commission. Does the $80 count towards the Roth IRA, or can you just ignore it and contribute another eighty bucks? Hopefully this isn't too confusing.

I would assume so. I used to contribute to a load mutual fund, before I realized what a bad deal loads were, and the loads definitely counted toward the maximum (not that I got anywhere close to it). But there may be ways to pay commissions or trading fees with money outside the IRA. If you're setting up an IRA or Roth through a broker or financial representative, ask about this.