Your company sounds much like mine (about same # of employees and same assets under management (AUM) 2.7M). I contacted Vanguard without my company knowing. I managed to get a sample plan from them. There were some days where they were slow in responding to my requests, but the other days where they were fine. The longest wait was for them to get me the plan; I had to actually remind them. The dates on the plan seem to indicate it was generated right away, but they forgot to mail it to me.
Either way, the sales response might not be indicative of the management side.
Here is the basic breakdown on what they proposed:
1. There was a base fee plus a fee for each employee. Unfortunately, they didn't spell the fees out in in hard numbers. Instead, they quoted it at 26 basis points (bp). Which came out to about $7,250 a year. My guess is these fees are probably some fixed dollar values what just happened to come out to 26bp for our AUM. I would have preferred to see real numbers. My guess is that the more AUM you have, the lower the basis point value goes.
2. They then give you a discount (10bp) on #1 for each Vanguard Investor class fund you have in your plan. The way I interpreted it, they are more of less saying, we are making money off of you on our funds so we don't want to double fee you. If we decided to put nothing but Vanguard investor class shares in our plan, then that would reduce the fees by $2,700 (2.7M * 0.001) . So the company would end up still having to pay $4,550 (7250-2700) for the plan. They said there is a way to make your employees pay all or part of that $4,550, but they didn't go into how that would work.
Of course, if you chose to have some non-Vangaurd funds in the plan, you'd lose some of this discount. The 10bp was applied to each fund balance that was an Investor class share fund, then the discounts are added up and subtracted from #1.
3. An onsite enrollment meeting was an extra $1,000.
4. Onsite educational services are offered through a third party at no more that $1,000 per day.
5. The expense ratios (ER) on the Vanguard funds appeared to be the same ERs that you'd pay if you bought the fund directly from Vanguard.
The package didn't contain information on additional fees like what employees would have to pay if they wanted to take a loan, etc.
I hope that helps.