Bridge over troubled water

Fees & Services

High Plan Fees Can Make a Shambles Out of Every Participant’s Bridge to a Successful Retirement

Are you confident you know all of the expenses of your current 401k plan?

Lawsuits alleging breaches of fiduciary duty have centered on the answer to that question. Unfortunately, due to the pervasive practices (revenue-sharing, 12(b)1 fees, sub-transfer agency fees, etc.) of the retirement plan industry, many plan sponsors are not confident in their knowledge of the total expenses of their plans. Yet ERISA clearly states that plan sponsors have a duty to understand total plan fees and expenses and to ensure that those are ‘reasonable’.

With The Advised 401(k), you will never have a doubt about your fees and expenses. As a fee-only advisor, we do not accept revenue-sharing of any kind. We are compensated only by our clients. Therefore, we provide a clear accounting of all fees and expenses so that you can be confident in fulfilling your responsibilities to plan participants.

The Advised 401(k) Total Plan Cost

A typical plan sold by an insurance company or brokerage firm contains charges for administration, fund expenses, wrap fees, and related expenses that sometimes add up to as much as 3.5 percent of the total plan assets on an annual basis. Our plan total costs are transparent and all fees are clearly disclosed. Typically, our total plan cost is between 0.5 and 1.0 percent annually depending on plan size. We guarantee that total plan costs will be in the lowest quartile of all plan of your plan’s size. This provides substantial cost savings to both employers and employees that can collectively accumulate to hundreds of thousands, even millions.

Expect Service To Improve

You don’t have to give up service in order to obtain lower costs and better performance. Included in our cost estimate are normal recordkeeping and administrative services provided by a Third Party Administrator (TPA). As a fiduciary to the plan, our duty includes recommending the service providers that offer the best value. You and your plan’s participants will also have telephone and online access to your personal account information 24 hours a day. You can choose to use the selected TPA or, in some cases, you may choose to continue to use the TPA with whom you’re working with.