GAO on Fees for 403(b) Plans

Fees for 403(b) plans vary widely according to the Government Accountability Office (GAO), as well as Form 5500 data. The GAO has found that even seemingly small fees can significantly reduce participants’ retirement savings over time. 

Further, says the GAO, available data also shows that large 403(b) plans had lower administrative fees than smaller ones. In a survey it conducted, university, state-sponsored, and plan sponsors with $1 billion or more in assets reported taking multiple steps to reduce fees, while other sponsors more often reported not having information that would help them monitor fees.