What Are These Fees?
When reviewing your account history, you will see monthly fees assessed to your account. Our commitment to you: we will work hard to keep those fees as low as possible. You may wonder, why do you have to pay these fees?
All Retirement Plans Have Fees
There are three types of expenses incurred by all retirement plans: 1) investment, 2) recordkeeping, and 3) administrative.
Investment expense is the fee charged by the fund managers.
Record keeping expense is the fee charged by Principal to maintain your retirement account.
Administrative expense is the fee charged by Servant Solutions to support our day-to-day operations.
You can review the investment fee charged by each fund manager by clicking here (reference the far right-hand column). In addition to the investment fee, each participant is charged a monthly recordkeeping and administrative fee. For the Servant Solutions Retirement Plan that monthly fee, on average, is .06%. Therefore, the average total cost (the sum of investment, record keeping, and administrative expense) for a participant in the Servant Solutions Retirement Plan is 0.87% on an annual basis.
Our Commitment to You: The Lowest Fees Possible
At Servant Solutions, we are committed to keeping expenses low. The Servant Solutions Retirement Plan utilizes a variety of mutual funds and LifeFund portfolios (both include index funds) that are considered low cost funds.
Also, we offer our participants the advantage of consolidating smaller retirement accounts into a larger plan. We consolidated contributions from over 600 churches/organizations last year. Because of this consolidation, the Servant Solutions Retirement Plan is able to offer our participants lower expenses. For example, the average retirement plan with $1,000,000 of assets has the following cost according to Fiduciary Benchmarks (FBi):
As you can see, our fees are much lower. We are committed to keeping it this way! As a not-for-profit ministry to ministers, missionaries, lay-workers, para-church servants and Christian higher education faculty and staff, we are dedicated to our mission to “Improve Financial Security for Servants of the Church.”
The peer comparison information set forth in this report is based upon information that Fiduciary Benchmarks (FBi) has received from retirement plan service providers. FBi has not verified the accuracy or completeness of either the Subject Plan Data or the Benchmark Group Data and cannot be responsible for any inaccuracies in the data presented. The peer group data in this report was gathered as part of Fiduciary Benchmarks comprehensive methodology for benchmarking retirement plans.