Reply #42: The take on what they¹re taking out of your 401(k) [View All]

[AnneD]

These days, not many people are smiling when they see their 401(k) statements. But they¹d be downright outraged if they saw the fees that are automatically deducted from their returns.

The Labor Department is proposing a rule that would require employers to disclose to workers the fees and expenses charged by mutual funds and other investments in a chart or similar format. Following are some answers to common questions about 401(k) fees.

Q: How do I find out what type of fees I¹m paying?

A: Asset management fees vary depending on the mutual funds you select and most likely aren¹t listed on your statement.

The best place to see them is on your plan¹s Web site, perhaps under a heading called ³Fund Facts.² Fees are also usually outlined in your plan¹s annual report (take a look, if you haven¹t thrown it out).

http://www.chron.com/disp/story.mpl/business/5908618.html

Some of these fees can totally gobble up all your gains. There needs to be more transparency in this area for consumers because this will replace pensions for most of America.