An important conversation is trending among plan sponsors and fiduciaries of defined contribution plans: the allocation of record keeping and administrative expense, i.e. who pays the record keeping fees and how equitable the different payment methods are. In this case study geared toward our defined contribution clients, Lynn Formica, Director, Debt Capital Markets & Investments at Reed Elsevier Inc., discusses the changes their Company made to its 401(k) Plan in 2010, which included charging participants a direct fee to participate in the program. Prior to the switch, the Reed Elsevier Plan, like the majority of 401(k) plans, utilized funds which offered revenue-sharing as the primary means to offset the Plan’s administrative costs. Ms. Formica addressed some of the most commonly-asked questions about adopting this type of approach and the reactions they received from their workforce.