The Department of Labor has released its final rules on service provider fee disclosure to retirement plan fiduciaries. The new rules require service providers to detail compensation they receive from the plan. The rules aim to help ensure plan sponsors and fiduciaries are paying only “reasonable” fees allowed under ERISA.
The service-provider level disclosures coincide with the plan sponsor’s new obligations to pass on this detailed information to plan participants.
The new service provider disclosure requirement are effective July 1, 2012.