401(k) Fee-Disclosure Regulations: From the Fine Print to the Front Page Summary
Many employees won’t be happy to discover that their 401(k)s—already ravaged by market volatility—have also been nibbled away by sponsor fees.
As 401(k) fee-disclosure regulations go into effect, companies cannot simply focus on complying with the laws; they must also consider the reactions of plan participants. Many participants had no idea that their plan sponsors charged fees to maintain their 401(k)s, and in a time of uncertainty, particularly for those nearing retirement, this news may not be warmly received.
This CFO eBrief is designed to help senior finance executives prepare for the implementation of the fee-disclosure regulations and to illuminate how companies can use these new regulations as an opportunity to not only improve 401(k) offerings, but also win back the faith of their employees.
Topics covered in 401(k) Fee-Disclosure Regulations: From the Fine Print to the Front Page include:
- A review of the regulations and their requirements for plan sponsors.
- Why 401(k)s became popular and how, as pension plans have disappeared from most companies, retirement investments are not inspiring much confidence in employees.
- A discussion of what the “reasonable” standard really means, including the findings of recent court cases.
- A review of recent research that highlights just how little your employees know about what goes on “behind the scenes” to manage their 401(k)s.
- Steps to take to improve your 401(k) plans and how you can use the new regulations as a means to help employees better prepare for their retirement.