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?”