We believe 401k fees are unethical, unfair, and plain wrong. We hope that when you evaluate your 401k, you consider the impact these 401k fees are having on your retirement security.
It was recently reported in the financial press that today there are more “401k millionaires” than at any other time in history. The two reasons for this are the significant run-up of the stock market and Covid, which kept people indoors, and saving, not spending money. The surplus money was redirected to their 401k plans.
There is no doubt that today there would be millions more “401k millionaires” except for one pesky little detail—401k fees.
401k savers are constantly being hurt by 401k fees skimmed from their accounts by financial advisors and most 401k providers—the skimming of 401k fees stunts the growth of all 401k balances. According to AAPR, approximately $150,000 is skimmed from the average 401k saver’s retirement account during the life of his or her 401k. If this skimmed $150,000 was added back, millions more people would have 401k balances today that exceed $1 million.
So why are there not more 401k millionaires today? Ask your financial advisor or 401k provider….if they are honest with you, they will acknowledge the impact 401k fees cost you, personally.