Battle plan objectives.

There are many expenses in every 401k plan but there are two that matter more than the rest: The base expenses attached to actively-managed mutual funds and the expenses and/or commissions added on for plan advisors/service providers. For most plans, these expenses account for the majority of plan cost—and they reduce the value of your plan to everyone but the funds and advisors. Costs for record-keeping, document, compliance and audit are not the culprit.

Let's be clear—we’re not suggesting that 401k costs can be evaluated without considering service—that’s what value is all about. But the services they supposedly fund are either ineffective or not being delivered at all. While the newly-required fee disclosures should have caused the 401k Revolt, the complexity of the disclosures and the comparison/bench-marking to a universe of high priced plans barely caused a ripple! This lack of clarity greatly benefits the entrenched establishment. And so the endless blather about what is “reasonable” is now passing as fee scrutiny. How……revolting!