As retirement plan participants begin to sift through new disclosure materials, we're seeing rising concern among 403(b) plan sponsors that the additional information could have a negative impact on retirement readiness.

401(k) sponsors also worry about this. But it is of particular concern among 403(b)'s. Many of these plans have undergone significant transformations in recent years due to new regulations that require them to operate more like 401(k) plans. As a result, 403(b) sponsors have sharpened their focus on participant outcomes: are employees saving at levels that will make them truly ready to retire?

403(b) sponsors are concerned that the shear amount of information in the new disclosures might paralyze participants or cause them to take actions not in their best interest. Participants who don't enroll, stop saving in the plan, or make investment choices based purely on investment cost could hurt their ability to be retirement ready.