Your Law Firm’s 401(k) Could Be Costing You Tens of Thousands

Watch the YouTube version of this episode HERE

What if your law firm’s 401(k) is quietly costing you tens of thousands of dollars each year?

In this episode, Tyson talks with Paul Sippil, also known as the 401(k) Vigilante, about the hidden fees and confusing payment structures built into many retirement plans.

Paul explains how he reviews publicly available Form 5500 filings to determine what firms are paying for recordkeeping, administration, custodial services, and financial advice. He also shares why two firms with the same number of employees can pay drastically different fees simply because one plan has accumulated more assets.

In this episode, we dive into:

Why many firm owners do not know who their 401(k) advisor is, or what that advisor actually doesHow asset-based fees can cause a successful firm to pay more without receiving additional serviceWhy Paul believes every retirement-plan provider should send a clear invoiceWhich 401(k) fees may be negotiable or eliminatedHow excessive fees can affect both law firm partners and employeesWhat attorneys should know about the ABA retirement programThe shocking story of a company that paid nearly $49,000 in commissions while its listed advisor had been dead since 2014

Paul also shares practical questions law firm owners can ask their providers to better understand their plans, uncover unnecessary costs, and determine whether they are actually receiving the services they are paying for.

Timestamps

01:14 — What a forensic 401(k) consultant does

04:34 — Why many owners do not know who their advisor is

09:28 — Why every provider should send an invoice

12:19 — The problem with asset-based fees