"Most people have been concerned with the speed at which they had to implement the new disclosure rules. We're glad the effective date was delayed to April 2012," says Miller.
The Spectrem study found that 28% of plan sponsors pay less than 0.5% in plan assets annually in fees, 53% say they pay between 0.5 and 1 percent, 13% pay more than 1 percent of plan assets while 6% say they do not pay any fees at all.
"It's a possibility that plan sponsors don't understand the fee structure because of embedded fees within the plan and they may be paying some additional charges that they are not aware of," says O'Connor.
-Juliette Fairley