Merrill Lynch agreed to pay Wal-Mart 401(k) plan participants $13.5 million dollars over excessive plan fees. This settlement comes on the verge of the final deadline for ERISA 408(b)(2), which requires service providers to give plan sponsors fee disclosure information by July 1, 2012. Receiving less focus, however, is the next step in the disclosure process: 404(a)(5).
This ERISA section compels sponsors to compile and analyze these disclosures and supply participants with an initial annual fee disclosure by August 31st, 2012. At this time, an investment comparative chart is also required for participants. These changes present a variety of opportunities for advisors to offer value-added services to their clients.
The standard of disclosure
Complete your profile to continue reading and get FREE access to BenefitsPRO, part of your ALM digital membership.
Your access to unlimited BenefitsPRO content isn’t changing.
Once you are an ALM digital member, you’ll receive:
- Critical BenefitsPRO information including cutting edge post-reform success strategies, access to educational webcasts and videos, resources from industry leaders, and informative Newsletters.
- Exclusive discounts on ALM, BenefitsPRO magazine and BenefitsPRO.com events
- Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com
Already have an account? Sign In
© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
