Retirement Plan Participants Need Reasonable Investment Fees
According to a recent Aon Hewitt survey, half of plan sponsors are very or somewhat concerned about 401(k) plan expenses and three-quarters of employers review their fees and plan costs annually.1 Plan sponsors want their employees to be able to retire with adequate savings. When plan sponsors offer investment options with reasonable fees in their retirement plans, they help ensure successful retirement outcomes for their participants.
Fiduciaries Own Fee Reasonableness
Under the Employee Retirement Income Security Act (ERISA), plan fiduciaries are responsible for the prudent selection and monitoring of plan investments, including understanding and evaluating plan fees and expenses. This responsibility is ongoing. A plan sponsor or fiduciary needs to monitor plan fees and expenses to determine whether they continue to be reasonable.
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- How a plan sponsor can ensure they are charging reasonable fees
- How to select investment options and maintain an ongoing review
- How to help minimize the cost of the investments in your retirement plan