Are You Losing Money to Hidden Fees?

Answer Box: TL;DR

You may be quietly losing thousands of dollars to hidden fees and unnecessary account clutter. In this short video, Dan explains how “financial clutter” shows up in old 401(k)s and HSAs, overlapping investments, and high-fee products—and how a simple 10-minute audit can help you consolidate accounts, cut fees, reduce overlap, and redirect those dollars back into your wealth plan.

Key Takeaways

Financial clutter is expensive and sneaky.
- Old, forgotten accounts (like prior 401(k)s and HSAs) often sit untouched while fees quietly stack up.
- Because nothing “looks urgent,” many high earners leave this clutter in place for years.
Consolidating old accounts can cut costs and simplify your life.
- Review old retirement plans, HSAs, and small stray investment accounts.
- Where appropriate, consolidate into a better-managed, lower-cost platform so you’re not paying multiple layers of fees.
Hidden fees drain returns without you noticing.
- Watch for high expense ratios, platform fees, and stacked advisory fees.
- These costs quietly erode performance over time, especially on larger balances.
- Consider shifting to low-cost ETFs or high-conviction actively managed accounts where the value justifies the fee.
Overlapping investments increase risk without adding much benefit.
- Holding many different funds doesn’t always mean you’re diversified.
- Owning multiple funds that all own the same stocks just concentrates risk in a few names.
- True diversification means spreading across sectors, styles, and asset classes—not just ticker symbols.
A quick audit can meaningfully improve outcomes.
- In about 10 minutes, you can:
  - List and evaluate old accounts
  - Check expense ratios and platform fees
  - Scan for overlapping holdings
- That simple review can save you thousands over time and put more of your money back to work.
Small changes compound into real wealth.
- Eliminating unnecessary fees and overlaps boosts net returns, which compounds year after year.
- Dan’s message: don’t let financial clutter quietly steal from you when a short review can plug the leaks.

Key Moments

(00:00) – The hidden cost of financial clutter. Dan opens by warning that you could be losing thousands right now due to unnecessary fees and overlapping accounts—and that it only takes about 10 minutes to start fixing it.
(00:00–00:24) – Where financial clutter hides. He explains that clutter often lives in old 401(k)s, HSAs, and other forgotten accounts, quietly racking up fees.
(00:24–00:42) – Hidden fees that drain your returns. Dan calls out high expense ratios, platform charges, and advisory fees as silent drags on performance, and encourages reviewing and cutting excess costs.
(00:42–01:02) – Overlapping investments and unnecessary risk. He describes how owning too much of the same type of stock across multiple funds can increase risk without improving returns and suggests diversifying across sectors.
(01:02–end) – A 10-minute audit and next steps. Dan closes by emphasizing that a quick audit can save thousands, reduce clutter, and increase peace of mind—and invites viewers to follow and subscribe for more simple optimization strategies.

Episode Summary

In this fast, tactical video, Dan highlights how easy it is for high earners to leak money through financial clutter and hidden fees. He explains that old 401(k)s, health savings accounts, and stray investment accounts can sit untouched for years, quietly charging fees in the background. Because everything appears “fine” on the surface, many people never stop to consolidate, review, and optimize those accounts.

Dan then zeroes in on hidden costs. High expense ratios, platform charges, and stacked advisory fees can significantly reduce long-term returns, especially as portfolios grow. His proposed solution is straightforward: review what you own, cut unnecessary fees where the value isn’t clear, and consider shifting assets into low-cost ETFs or high-quality active strategies where the alpha potential justifies the cost.

He also warns about overlapping investments. Owning many funds doesn’t guarantee diversification if they all hold the same underlying large-cap names. That kind of overlap increases risk without boosting expected returns. Instead, Dan encourages diversification across sectors and strategies to stabilize the overall portfolio.

The key message: a quick, focused account and fee audit—often no more than 10 minutes of attention—can potentially save you thousands and redirect those dollars into productive growth. Rather than letting financial clutter quietly erode your progress, Dan urges viewers to streamline, simplify, and put every dollar back to work with intention.

Full Transcript

Dan: You could be losing thousands right now due to unnecessary fees and account overlaps, and all it takes is about 10 minutes to correct this.

Dan: I’m Dan Pascone, founder and CEO of Tailored Wealth.

Dan: Financial clutter is sneaky. It hides in forgotten old accounts like 401(k)s and health savings accounts, quietly racking up fees.

Dan: Consolidate these accounts and simplify your finances.

Dan: Hidden fees—think high expense ratios, platform charges, and advisory fees—they drain your returns without you even noticing.

Dan: Review them, cut the excess, and switch to low-cost exchange-traded funds or actively managed accounts that generate higher returns.

Dan: And lastly, overlapping investments. Owning too much of the same types of stocks increases risk without boosting returns.

Dan: Diversify across multiple sectors to stabilize your portfolio.

Dan: This quick audit could save you thousands and put your money back to work for you.

Dan: Don’t let financial clutter steal from you. A quick 10-minute review could stop the leaks, grow your wealth, and give you peace of mind.

Dan: Want more simple strategies to optimize your finances? Follow and subscribe, and let’s start putting your money to work for you.

Resources & Concepts Mentioned

Financial clutter: Old or scattered accounts (401(k)s, HSAs, brokerage accounts) that add complexity and fees.
Expense ratios & platform fees: Ongoing investment and platform costs that reduce net returns.
Low-cost ETFs: Exchange-traded funds designed to provide broad exposure at lower expense ratios.
Overlapping investments: Multiple funds or accounts holding the same underlying securities, increasing concentration risk.
Diversification by sector: Spreading investments across industries to help stabilize portfolio risk.

FAQs

What is “financial clutter” and why does it matter?

Financial clutter is the build-up of old, scattered accounts and unnecessary complexity—like multiple small 401(k)s, HSAs, or brokerage accounts. It matters because it often comes with extra fees, redundant investments, and less oversight, all of which can drag down your long-term results.

How do I know if I’m paying hidden fees?

Start by pulling statements or fee disclosures for each account. Look for expense ratios, advisory fees, platform or account fees, and transaction charges. If you see multiple layers of cost or high expense ratios compared to low-cost ETF alternatives, there may be room to cut.

Is owning lots of different funds the same as being diversified?

Not necessarily. If many of your funds all own the same large-cap names, you’re just duplicating exposure. Real diversification means spreading risk across sectors, regions, and strategies—not just owning more tickers.

What’s a simple first step to reduce financial clutter?

Make a quick list of all your accounts—401(k)s, IRAs, HSAs, brokerage, bank accounts—and identify any old or rarely used accounts. From there, explore whether it makes sense to consolidate into a smaller number of better-structured, lower-cost accounts.

Do I need a financial advisor to do a fee and overlap check?

You can start with a DIY review—looking at fees and holdings yourself—but an advisor who understands portfolio construction and cost analysis can help you see overlaps, evaluate trade-offs, and design a streamlined structure that fits your long-term plan.

Disclaimer

This video and written summary are for educational and informational purposes only and do not constitute financial, tax, or legal advice. They do not create a client relationship with Tailored Wealth or any related entity.

Investment decisions, account consolidation, and fee changes all involve trade-offs, including potential tax implications and differences in protection or features. Before making any changes, you should consult with:

A licensed financial advisor or planner
A qualified tax professional (CPA or EA)
Legal counsel, where appropriate

Any examples mentioned are illustrative only and not guarantees of future results.

Next Steps

List your accounts: 401(k)s, HSAs, IRAs, brokerage, and old employer plans.
Check your fees: Review expense ratios, advisory fees, and platform charges for each account.
Scan for overlap: Look at top holdings across funds to see if you’re concentrated in the same names.
Consider consolidation: Explore whether combining accounts into a simpler structure could cut costs and improve oversight.
Get a second opinion: If you’re unsure, have a professional review your portfolio for hidden fees and unnecessary complexity.

A short, focused review can plug leaks, reduce clutter, and help ensure more of your money is actually working for you—not for your providers.