United States Government Publishing Office publisher pbl distributor dst United States Government Accountability Office author aut Government Organization text government publication eng GAOREPORTS Legislative Agency Publications gao legislative 2010-08-12 U.S. Government Printing Office 2007-10-24 monographic deposited born digital 24 p. GA 1.13:GAO-08-95T https://www.govinfo.gov/app/details/GAOREPORTS-GAO-08-95T P0b002ee1803a5565 f:d0895t DGPO 2010-08-12 2011-03-23 GAOREPORTS-GAO-08-95T machine generated eng fdlp REPORT GAOREPORTS-GAO-08-95T GAO-08-95T Employee retirement plans Fees Funds management Government information dissemination Information disclosure Investment planning Investments Pension plan cost control Pensions Reporting requirements Retirement Retirement income Program costs Program implementation Testimony A77551 According to Labor's most recent data, there are an estimated 44 million active participants in 401(k) plans. As participants accrue earnings on their investments, they also pay a number of fees, associated with 401(k) plans. Over the course of the employee's career, fees may significantly decrease retirement account balances. For plan sponsors, understanding the fees they are being charged helps fulfill their fiduciary responsibility to act in the best interest of plan participants. GAO's prior work on 401(k) fees found that fee disclosures are limited and do not allow an easy comparison of investment options. GAO previously made recommendations to both Congress and Labor on ways to improve the disclosure of fee information to both plan participants and sponsors. Both Labor and Congress now have efforts under way to ensure that both participants and sponsors receive the necessary fee information to make informed decisions. These efforts on the subject have generated significant debate. This testimony provides information about the way fee information could be disclosed to benefit 401(k) participants and sponsors, focusing on 1) the information on fees that could be most useful for plan participants and plan sponsors and 2) how such information could be effectively presented. To complete this statement, GAO relied on previous work and also utilized information from Labor and from industry experts on the subject of fee disclosure to participants. https://www.govinfo.gov/content/pkg/GAOREPORTS-GAO-08-95T/html/GAOREPORTS-GAO-08-95T.htm https://www.govinfo.gov/content/pkg/GAOREPORTS-GAO-08-95T/pdf/GAOREPORTS-GAO-08-95T.pdf GAO-08-95T https://www.govinfo.gov/app/details/GAOREPORTS-GAO-08-95T Testimony GAO-08-95T; Private Pensions: 401(k) Plan Participants and Sponsors Need Better Information on Fees; Employee retirement plans Fees Funds management Government information dissemination Information disclosure Investment planning Investments Pension plan cost control Pensions Reporting requirements Retirement Retirement income Program costs Program implementation Volume 120 Page 780 120 Stat. 780 Public Law 109-280