Fee fairness can be defined as all participants paying a fair share of the fees required to maintain a plan. Yet choosing the fairest way to assess participant fees requires careful consideration. What at first may seem like a fair approach for all employees may benefit some over others.
With greater industry focus on fee fairness, it’s a good idea to be familiar with the topic and the implications it may have for your organization. This checklist can help guide your review of your plan’s fee practices.
* Fee examples are for illustrative purposes only and do not represent actual numbers.
Please note that fee structure classification does not imply one approach is better than the other.
TIAA-CREF Individual & Institutional Services, LLC, Teachers Personal Investors Services, Inc., and Nuveen Securities, LLC, Members FINRA and SIPC, distribute securities products.
To explore the reasonableness and fairness of fees in more depth, please see our papers on this topic:
TIAA is committed to helping you meet your fiduciary obligations and better understand the reasonableness and fairness of fees in your plan. Please contact your Relationship Manager if you have any questions.