Thursday, February 4, 2010

The $3 Trillion 401(k) Rip-Off

More than $3 trillion is invested in 401(k) plans. While Congress dithers, participants in these plans continue to get ripped off.

It's a very slick con. Here's how it works:

401(k) plans are supposed to be set up and run solely in the best interest of the plan participants. It is for this reason that ERISA, the law that governs these plans, requires the plan sponsor -- who is usually the employer -- to be a "fiduciary." This means that the plan sponsor has legal liability if the plan does not meet the high standard of loyalty to those who contribute their hard earned wages into the plan.....More..Follow On Twitter----Odd Daily News