Broker Check

What you should know about your retirement plan

There’s a good reason to pay attention to the fees you are paying in your 403(b)/457(b) plan.

Simply put:

  • You have a right to quality low-cost investment choices. After all, it’s your money that’s being invested.
  • You have a right to meet individually with a person who will provide strategies on asset allocation.
  • It’s not necessary to have more than one vendor associated with the plan – and it can be less expensive to have only one.
  • School business officials should use the Request for Proposal (RFP) to ensure that their employer-sponsored 403(b) plan is getting the best plan design at the lowest cost for their employees.
  • It is incumbent upon business officials to ensure a clear, transparent explanation of all fees, including M&E charges, deposit fees, surrender charges, operating costs, maintenance fees, and
  • 12b-1 fees.

If your school official is not following these basic, prudent principles, you and your colleagues have the right to ask “Why not?”