While most experts agree that the 408(b)(2) fee disclosure regulations will have more far-reaching implications than participant fee disclosure rules, plan sponsors do need to keep abreast of what they need to reveal to plan participants beginning Aug. 30. And it isn't going to be easy. Especially in light of the U.S. Department of Labor's renewed push to redefine the definition of fiduciary.
Chad Parks, CEO and founder of The Online 401(k), believes the regulations that relate to plan participant fee disclosure haven't gone far enough.
"I'm kind of disappointed in them. The promise was that finally fee disclosure is here; participants will have a line item about services provided and how much they are paying for that," he said. "It stopped short of that. It is broken down by investments, administration and record-keeping for the whole plan. It isn't broken down like that for employees."
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