Comments on: Are 401k Plan Administrators Robbing Me? http://www.lazymanandmoney.com/are-401k-plan-administrators-robbing-me/ Saving, Earning, and Investing Money Sat, 21 Nov 2009 14:52:35 -0800 http://wordpress.org/?v=2.8.5 hourly 1 By: Scott Brooks http://www.lazymanandmoney.com/are-401k-plan-administrators-robbing-me/comment-page-1/#comment-61999 Scott Brooks Sun, 17 Feb 2008 14:45:59 +0000 http://www.lazymanandmoney.com/are-401k-plan-administrators-robbing-me/#comment-61999 The fees on 401k plans vary a LOT.... larger firms usually have better lower cost plans with more options. Smaller 401k plans sometimes are VERY expensive. Great blog! The fees on 401k plans vary a LOT….
larger firms usually have better lower cost plans with
more options. Smaller 401k plans sometimes are VERY expensive.

Great blog!

]]> By: MossySF http://www.lazymanandmoney.com/are-401k-plan-administrators-robbing-me/comment-page-1/#comment-2070 MossySF Sun, 04 Feb 2007 09:20:39 +0000 http://www.lazymanandmoney.com/are-401k-plan-administrators-robbing-me/#comment-2070 The paperwork you need to file with the IRS for a 401K plan is huge. In addition, you have to apply 3 different tests every year just to see if your plan is valid for that year. So guess what most 401k administrators do -- they compete for an employer's business by charging minimal fees at that end and then recoup the money via fund selection (fees and commissions). A SIMPLE-IRA, SIMPLE-401K is much easier to administer -- a single form to submit to the IRS but also has a much lower contribution limit. Vanguard's fees for their SIMPLE-IRA is $20 per fund per person per year. If you aren't contributing much, that's actually a pretty high %. If you contribute the max for a few years, it becomes nearly nothing. The paperwork you need to file with the IRS for a 401K plan is huge. In addition, you have to apply 3 different tests every year just to see if your plan is valid for that year. So guess what most 401k administrators do — they compete for an employer’s business by charging minimal fees at that end and then recoup the money via fund selection (fees and commissions).

A SIMPLE-IRA, SIMPLE-401K is much easier to administer — a single form to submit to the IRS but also has a much lower contribution limit. Vanguard’s fees for their SIMPLE-IRA is $20 per fund per person per year. If you aren’t contributing much, that’s actually a pretty high %. If you contribute the max for a few years, it becomes nearly nothing.

]]> By: Andy http://www.lazymanandmoney.com/are-401k-plan-administrators-robbing-me/comment-page-1/#comment-1050 Andy Thu, 04 Jan 2007 18:46:26 +0000 http://www.lazymanandmoney.com/are-401k-plan-administrators-robbing-me/#comment-1050 I wish I could start my 401k, but I guess until then I will work on my Roth IRA. I wish I could start my 401k, but I guess until then I will work on my Roth IRA.

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