Employees May Pay More on Retirement Plans Wall Street Journal (06/24/03) Vol. 10, No. 6 p.D3; Chu, Kathy
The Employee Benefits Security Administration and the U.S. Labor Department issued new guidelines for employers, allowing them to pass some of the administrative costs associated with defined contribution plans onto their workers. While plan sponsors have never been obligated to pay for all of the costs of administering plans, sponsors now are relieved to learn that they also are not obligated to pay for the costs of creating plans, including 401(k)s. As more companies seek out new cost-cutting strategies, employees should be prepared to bear more of the administrative cost burden for their retirement plans.