consideration in the House on the lack of transparency with
401(k) fees:"Under current law, 401(k) providers, such as mutual fund families or insurance companies, are not held to any consistent standard for disclosing fees. As a result, employers often have insufficient information when they make decisions about a 401 (k)'s options and services. For instance, money management firms routinely list administrative fees, which are generally paid for by employers, as "zero." But in truth, administrative costs are generally covered by charging higher investment fees, which come out of employees' account balances. The bill would require 401(k) providers to break out all costs.
The House bill would also correct current law, which does not require that employees be told about fees that reduce their investment returns. Opponents of the measure, mainly
410(k) providers, argue that more information would be more confusing."See article linked now at