Strong Tower

Starting a New Job? Here’s How to Tell if Your New 401(k) Plan Sucks

401(k) plan

Ash Toumayants, financial advisor and founder of State College PA-based financial advisory firm Strong Tower Associates, spoke to Penny Hoarder staff writer Dana Sitar about evaluating a 401(k) plan when starting a new job. High fees might deter employees from signing up for a plan, but Toumayants explains that these fees are necessary to keeping regulations that protect employees in place and, regardless of rates, signing up is still a good idea if the employer matches.

Strong Tower Associates. Toumayants explains 401(k) fees are relatively high because the plans are subject to more regulations than other retirement plans. These regulations are in place to protect employees, but you may not want to absorb the brunt of the cost! He points out, ‘Regardless how expensive it might be, it’s still a good idea to sign up for a workplace 401(k) if the employer matches,’ because you stand to gain more than you lose.”

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