Good News for Businesses AND Employees – Lower 401k Fees
401k Plan Fees Dropped in 2022
Ready for some good news? Total 401(k) plan costs declined an average of three basis points in 2022, according to the latest annual edition of the “401k Averages Book” released Wednesday.
This is good news for businesses (and employees!). Oftentimes those plan fees act as a drag on participant accounts. Extra fees go unnoticed for years and the impact to participant accounts can be devastating. These fees subtract from the potential retirement accounts balances that employees need to retire. Many American workers do not have enough saved for a secure retirement.
“We are encouraged to see fees continue to decline for participants in small 401(k) plans,” said Joseph Valletta, author of the “401k Averages Book,” in a news release.
Plan fees include: cost of investments, record-keeping, administration, and trustee costs.
Did your fees go down? Want me to look into how we can lower your fees?
Take action: I can benchmark your plan fees. A benchmark will compare your 401k plan fees against what other 401k providers will charge. You won’t have to make 1 phone call and your company name is not shared.
Did you know: The Department of Labor recommends all businesses review their plan fees every 2-3 years.
To request your Free Benchmark, simply book a consultation below.
Don’t Worry, Retirement Partners Can Help
Understanding your plan fees, fiduciary responsibility, and a personalized plan design is often overlooked. We know you’re busy and you want to work with a trusted partner.
This information is not intended as authoritative guidance or tax or legal advice.
Disclosures, Sources, and Footnotes
For plan sponsor use only, not for use with participants or the general public. This information is not intended as authoritative guidance or tax or legal advice. You should consult with your attorney or tax advisor for guidance on your specific situation.