403b plan change from "Principal" to "The Standard"

Have a question about your personal investments? No matter how simple or complex, you can ask it here.
Post Reply
Topic Author
katnok
Posts: 171
Joined: Fri Nov 11, 2011 8:36 pm

403b plan change from "Principal" to "The Standard"

Post by katnok »

My employer is going to move our 403b and 457b plans from Principal to The Standard.

While I am excited about the availability of Vanguard funds with low ERs, I am also concerned about plan administrative fees, which according to the guide we received today would range from 0.85 - 1.75% based on the amount of assets.

HR and a rep from The Standard will be meeting with us in about 2 weeks time.

What kind of questions other than those related to fees do you suggest I ask?

Thank you!
User avatar
Ged
Posts: 3927
Joined: Mon May 13, 2013 1:48 pm
Location: Roke

Re: 403b plan change from "Principal" to "The Standard"

Post by Ged »

Ask them why they aren't using a lower fee provider for these plans.
Topic Author
katnok
Posts: 171
Joined: Fri Nov 11, 2011 8:36 pm

Re: 403b plan change from "Principal" to "The Standard"

Post by katnok »

Ged wrote:Ask them why they aren't using a lower fee provider for these plans.
We already did, and the answer to that question is this move from Principal to the Standard.

What are the possible hidden fees? How do I find out those fees if they are not in the plan booklet?
manwithnoname
Posts: 1584
Joined: Mon Jul 22, 2013 7:52 pm

Re: 403b plan change from "Principal" to "The Standard"

Post by manwithnoname »

Ged wrote:Ask them why they aren't using a lower fee provider for these plans.
Because the employer is not paying for the administrative costs of operating the plan. Costs are passed to the employees by assessing higher fees.
Post Reply