If you\u2019re a 401(k) plan sponsor, you don\u2019t need to be an ERISA expert\u2014you just need to avoid doing dumb things. Here are a few quick tips to help you stay on the right side of your fiduciary duties and keep your participants (and the DOL) happy:<\/p>\n
1. Review your fees. Regularly. Don\u2019t assume your plan is \u201cfine\u201d because no one\u2019s complained. Benchmark your recordkeeping and investment fees every 2\u20133 years. Overpaying is not a victimless crime.<\/p>\n
2. Document everything. If a tree falls in the forest and no one documents it, it never happened. Same goes for committee meetings. Keep minutes, note your process, and show your work.<\/p>\n
3. Don\u2019t just set it and forget it. ERISA doesn\u2019t reward autopilot. Review your investment lineup at least annually. Performance, fees, share classes\u2014all of it.<\/p>\n
4. Watch your provider relationships. Just because your advisor or TPA is a nice guy doesn\u2019t mean they\u2019re giving you the best deal. Loyalty is great in friendships, not in fiduciary oversight.<\/p>\n
5. Educate yourself. You don\u2019t need to become an ERISA nerd like me, but you do need to understand the basics. Fiduciary responsibility is personal\u2014ignorance is not a defense.<\/p>\n
Do the right thing. Ask the tough questions. And if something feels off, it probably is. Better to be proactive now than be a case study in a class action later.<\/p>\n
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