Why Your 401(k) Is Worth Suing Over
Sometimes even employers or brokers who know better foist a bad 401(k)/retirement plan on their employees. When they refuse to change, it's time to take them to court.
The biggest reason to sue is over excessive fees: You could be getting ripped off in your plan. Expenses on mutual funds within the plans should be rock-bottom. You can buy an index fund of nearly every big U.S. stock for as low as 0.04 % a year (in the Schwab U.S. Large-Cap ETF). That compares to about 1 percent for the average stock mutual fund.