Unlike previous definitions, this version takes a definitive step towards allowing plan sponsors to forgo traditional financial measures. Rather than relying on extensive academic studies, this new Rule represents a certain leap of faith.
Tag "401k"
Even without these extremes, this asset class brings with it a roller coaster experience, something many retirement savers won’t be able to stomach.
There is an out, of course, but that might eliminate the so-called “institutional pricing” advantage former employees have for staying in the plan in the first place.
Before you get all excited and look to replace your home equity loan with a 401k loan, you should consider these things.
There might be a there, there. It could be that TDFs have an Achilles’ Heel that leaves them vulnerable.
If you’re over fifty, that gold watch gleams closer and closer. You start thinking. You start wondering. You start asking questions.
Nobody’s perfect. It’s unfair to expect recordkeepers to be. Everyone makes mistakes—even recordkeepers. The problem is what happens when a mistake occurs.
How do you solve, for example, the problem of integration between the payroll software and the 401k recordkeeper’s website?
“I was [once] a major skeptic of the use of annuities, I have subsequently changed my mind regarding the efficacy of low-cost fixed and variable annuities in both personal and retirement accounts.”
A few years ago, this might have been classified as a common “mistake.” Again, “mistake” is in quotes because this is less an issue for certain plans (usually small firms or particular industries) than others.
