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FixedFee401k research shows annual 401(k) fees could exceed annual combined match and deferral savings


FixedFee401k research shows annual 401(k) fees could exceed annual combined match and deferral savings

401(k) asset-based fees can hurt plan participants, especially those nearing retirement

FixedFee401k offers free 401(k) plan estimates for employers

PR Newswire

OVERLAND PARK, Kan., Aug. 16, 2018 /PRNewswire/ -- FixedFee401k believes that most participants don't know how much they are paying or don't realize they are paying anything at all. If you are told you don't pay any 401(k) fees, don't believe it. 

FixedFee401k logo (PRNewsfoto/FixedFee401k)

Hidden charges can rob employees of valuable retirement dollars. 

Many of these fees are effectively hidden within the investment fees charged to participants or simply deducted from assets in the plan without notice to the participant. This can hurt plan participants, especially those nearing retirement.

Chris has been diligently contributing to her employer's 401(k) plan and has also been fortunate enough to have a generous match from her employer. Her annual salary is $50,000 and she has a $300,000 account balance. Based on recordkeeping and advisory asset-based fees of 1%, her annual fees are $3,000 or 6% of her salary. Her total annual salary deferral and employer match equals $4,500 but her net total contribution and match to the plan is only $1,500

FixedFee401k believes service providers should be compensated reasonably, not benefit unfairly. 

Participants are sacrificing hard-earned retirement savings. FixedFee401k helps stop this unreasonable escalation in plan fees by establishing fixed fees for advisory services and a flat fee per participant for recordkeeping services. This lets participants keep more of what they save for retirement and may provide better retirement outcomes. 

Chris realized her annual 401(k) fees of $3,000 ate up much of her annual combined match and deferral savings of $4,500 and shared it with her employer. The employer worked with FixedFee401k to easily convert their plan - saving participants 50% or more – and providing better advisory support.

FixedFee401k focuses on participants and preparing them for a better retirement 

Consider what 401(k) plan participants would prefer. A better 401(k) plan with low cost, high quality funds and dedicated advisory support or a more expensive 401(k) plan with less. 

Visit FixedFee401k for a free plan estimate or you may contact them at for more information.

FixedFee401k retirement plan services are provided through Wilborn Advisors in Overland Park, Kansas. Wilborn Advisors travels extensively for their clients. Investment advisory services provided through V Wealth Advisors LLC, a registered investment advisor, doing business as "Wilborn Advisors". 

For more information:
Susan Wilborn 
Phone: 913.908.1054

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SOURCE FixedFee401k

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