By Brian O’Connell (USNEWS.com)
With almost $5 trillion in assets, the 401(k) plan is the primary driving force toward a financially stable retirement for millions of Americans.
With that amount of cash on the table, U.S. workers need to stay vigilant on all 401(k) fronts, and should be especially alert and proactive when their company makes changes to their 401(k) plan.
In a perfect world, employers likely have a good reason for the switch, such as reducing fees or improving the plan’s offerings. But in the real world, the change may, for one reason or another, be better for the employer than for the plan participant.
Consequently, a change in providers means you should do a little sleuthing to make sure there have been no glitches in your account and that your new funds are the ones you really want, among other key issues that need to be addressed.
If a 401(k) plan change happens to you, take these critical steps to ensure your plan remains well-oiled, and suitable for your unique retirement planning needs:
- Conduct a thorough assessment.
- Focus on fund allocation and risk.
- Act fast if the company match goes away.
- Make sure you fully vet the required plan change notices.
- Know what to do during any blackout periods.
Get the details here: 5 Things to Do If a Company Switches Its 401(k) Plan Provider