The cost of defined contribution plans stayed steady over the past year, marking the first time since 2010 that administrative fees have not fallen.
That is according to a survey published this week by NEPC, which found that the median fee for recordkeeping, trust and custody so far this year is $59 per participant, compared with $57 in 2016. However, administrative fees dipped slightly on an asset-weighted basis, going from 42 basis points last year to 41 bps in 2017, according to NEPC.
Current rates are substantially lower than those of 2006, at which time participants paid an average of $118, or 57 bps, according to survey results.
NEPC’s recent survey included responses from 123 DC plans, representing a total of $138 billion in assets under administration among 1.5 million participants. Data for 21 recordkeepers is included in the survey results.