Pitfalls a 401(k) Sponsor Can Avoid With Plan Providers

Ary Rosenbaum - The Rosenbaum Law Firm P.C.
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While much of the focus concerning the liability of sponsoring a 401(k) plan is about plan expenses thanks to the many lawsuits filed against plan sponsors. However for most plan sponsors, the greatest liability they actually face is resulting from the plan provider they hire. There are many plan providers and some of them aren’t very good and the not so very good ones cause a lot of headaches and costly bills for the 401(k) plan sponsors that hire them. This article is about the pitfalls that plan sponsors can avoid in hiring plan providers that could cause liability.

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DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

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