The Structure of 401(k) Fees
The brief’s key findings are:
- 401(k) fees are complex and may not closely correspond to costs.
- Fees also raise design issues, such as transfers from high-balance to lowbalance participants and from participants to non-plan investors.
- Better disclosure could help employers and participants avoid unreasonable costs.
- Policymakers may also want to opine on the transfers embedded in today’s fee structure.