The hard costs of retirement plans

By Steve Savant

Ash Brokerage Corporation


Some say there’s no comparison between 401(k)s and supplemental income plans using life insurance. But now that fee disclosures are available to 401(k) plan participants, you can compare their hard costs to non-qualified life insurance retirement plans.

Extremely large 401(k) plans can leverage the economy of scale and really reduce the cost of the plan. But most Americans are in smaller 401(k)s with less than 100 employees. Now that regulation 408(b)(2) has finally been implemented, all plan costs are disclosed.

Today on the Business Insurance Zone, national insurance columnist Steve Savant and cohost Eric Palmer discuss those fees and compare them to life insurance income plans where the death benefit is minimized.