Control Costs

In a recent survey of 401(k) participants by the American Association of Retired Persons (AARP), 79% felt that fees are important to consider when making investment decisions. Yet, the same survey found that only 17% of respondents knew how much they paid in annual fees and expenses. (Brown, 2007)

Unexpected findings? Not really. Fees are one of the least understood areas in retirement planning.

In a 401(k) plan, the account balance determines your retirement income. Contributions to your account and earnings on your investments increase income; fees and expenses reduce income. The higher the fee, the lower the return. In fact, uncontrolled costs can drain thousands of dollars out of your 401(k) every year.

So…the best plan moves beyond measuring yearly returns. It works to control costs by investing funds at extremely competitive rates. And, it takes the guess work out of yearly fees and expense calculations.

That's how we work at GoldMedalWaters 401(k). As fee-only AIF® financial advisors, we are selling you only one thing: our knowledge. We charge for our advice and/or ongoing management; we gain no other financial reward directly or indirectly from any other institution. We are comfortable with this because the the bottom line is the same for both of us--peace-of-mind.

Brown, S.K., 2007. 401(k) Participants’ Awareness and Understanding of Fees. Retrieved from http://www.aarp.org/research/financial/investing/401k_fees.html