When is the Deadline for 401K Plans to Report Fees?

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NateW
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When is the Deadline for 401K Plans to Report Fees?

Post by NateW » Wed Oct 24, 2012 8:51 am

I just received my 401K quarterly statement from my employer. It covers my investments for the period of 07/01/12 through 09/30/12. There is no mention of plan fees. This statement contains the exact same verbiage as my previous quarterly statement. It does not even mention any pending requirements to divulge plan fees. I was hoping my last quarterly statement would have the fees and I was sure by the time this statement came the fees would be reported. When do the new requirements take effect?

Thanks.

--Nate

Rupert
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Re: When is the Deadline for 401K Plans to Report Fees?

Post by Rupert » Wed Oct 24, 2012 8:53 am

They've already taken effect. I think the deadline was August 31.

dbr
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Re: When is the Deadline for 401K Plans to Report Fees?

Post by dbr » Wed Oct 24, 2012 8:54 am

Yes, for example my quarterly statements added detail concerning fees. The only fee documented is the monthly cost of holding funds in a brokerage link. Otherwise the fees are the expense ratios that have always been documented in the descriptions of the various funds.

I wonder if a plan is required to post a statement like this:

Plan Fees:

There are no plan fees.

pkcrafter
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Re: When is the Deadline for 401K Plans to Report Fees?

Post by pkcrafter » Wed Oct 24, 2012 9:39 am

You should have received some information by Aug 31, but a quarterly statement detailing expenses may not show up until October or November.
•Quarterly. This will arrive later this year, probably in October or November depending on the plan. It will include details about how much an individual is paying for investment and administrative fees, as well as any individual expenses that they have taken out, such as a loan.
http://usatoday30.usatoday.com/money/pe ... 57142016/1

Since you haven't received any information, your plan is probably not covered by ERISA.

Paul
When times are good, investors tend to forget about risk and focus on opportunity. When times are bad, investors tend to forget about opportunity and focus on risk.

NateW
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Re: When is the Deadline for 401K Plans to Report Fees?

Post by NateW » Wed Oct 24, 2012 9:51 am

Thanks for all your replies. My 401K plan uses branded TransAmerica funds with exorbitant ERs (upwards of 2%) and Paychex is the plan administrator (I think). The statements come from Paychex. I do know what the ER of my Vanguard (Transamerica branded) Retirement Date fund is (1.64%). This info comes from TransAmerica's informational sheets for "their" funds. This is the EXACT same fund Vanguard offers for an ER of about 0.2% :x I do not know if I pay administrative costs on top of this.

I do believe my plan is covered by the new regulations. I guess its time to give Paychex a call.

--Nate

livesoft
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Re: When is the Deadline for 401K Plans to Report Fees?

Post by livesoft » Wed Oct 24, 2012 12:20 pm

I don't think your statement has to show any fees. You should have already gotten a separate document describing the fees. It may also be hidden on the web site somewhere.
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prudent
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Re: When is the Deadline for 401K Plans to Report Fees?

Post by prudent » Wed Oct 24, 2012 12:28 pm

Our 401k fee disclosure document came as a separate mailing. Not part of the regular quarterly statement.

555
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Re: When is the Deadline for 401K Plans to Report Fees?

Post by 555 » Wed Oct 24, 2012 1:10 pm

We get a lot of calls from telemarketers etc. these days despite being on the do-not-call lists. Obviously the regulations are toothless and they simply ignore them.

These "reporting requrements" are a lot like that. I haven't received anything for my old 401a plan, my new 401a plan, my 403b plan, or my 457 plan. They all claim they don't have any idea what I'm asking about, and they clearly have no intention of sending any disclosures. Obviously the regulations are toothless and they simply ignore them.

Confused
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Re: When is the Deadline for 401K Plans to Report Fees?

Post by Confused » Wed Oct 24, 2012 1:20 pm

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House Blend
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Re: When is the Deadline for 401K Plans to Report Fees?

Post by House Blend » Wed Oct 24, 2012 9:02 pm

555 wrote:I haven't received anything for my old 401a plan, my new 401a plan, my 403b plan, or my 457 plan. They all claim they don't have any idea what I'm asking about, and they clearly have no intention of sending any disclosures. Obviously the regulations are toothless and they simply ignore them.
Uhh, as far as I know, these new regulations apply only to 401k's.

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