Beagle 401k plan fees can vary depending on the investment options you choose and the level of service you require. Typically, you can expect to pay an annual administrative fee of around $25 to $100, which covers the cost of recordkeeping and other administrative expenses. Additionally, you may incur investment fees associated with the specific funds you invest in. These fees can range from 0.25% to 2% or more of your assets under management. It’s important to carefully consider the fees associated with your Beagle 401k plan and compare them to other retirement savings options to ensure you’re getting the most value for your money.
Annual Administrative Fees
- Recordkeeper fees (e.g., custodian, third-party administration): $10 per participant per year
- Investment management fees (e.g., fund expenses): Vary depending on the investment options selected
- Administration fees (e.g., plan setup, annual maintenance): $1,000 per plan per year (waived for plans with 100+ eligible employees)
| Number of Participants | Recordkeeper Fee |
|---|---|
| 0-24 | $240 |
| 25-49 | $480 |
| 50-74 | $720 |
| 75-99 | $960 |
Beagle 401k Plan Setup Costs
The initial investment to set up a Beagle 401(k) plan for your business can vary depending on the size and complexity of your organization, as well as the services and features you select. Here’s a breakdown of the potential costs involved:
One-Time Costs
- Plan Document: $500-$1,500 to set up the legal framework for the plan.
- Trust Establishment: $200-$500 to create the trust that will hold the plan assets.
- Participant Education and Enrollment: $200-$500 for materials and support to educate employees and enroll them in the plan.
Ongoing Costs
- Annual Plan Administration Fee: $500-$2,000 per year for plan management, recordkeeping, and compliance support.
- Investment Management Fees: Variable depending on the investment options offered and the performance of those investments.
- Participant Education and Communication: $200-$500 per year for ongoing employee engagement and support.
- Audit Fees: $500-$2,000 every three to five years for independent audits of the plan.
Additional Services
- Employee Loans: $100-$200 per loan for plan administration and processing.
- Hardship Distributions: $50-$100 per distribution for plan administration and compliance review.
- Automatic Enrollment: $50-$100 per employee for setting up and managing automated contributions.
Fee Structure
Beagle 401(k) offers a tiered fee structure based on the number of eligible participants in the plan:
| Eligible Participants | Annual Administration Fee |
|---|---|
| 1-10 | $500 |
| 11-25 | $1,000 |
| 26-50 | $1,500 |
| 51-100 | $2,000 |
Customization Options
Customization options, such as additional investment options or a profit-sharing component, may incur additional costs.
Employer Contribution Match
If your company offers an employer contribution match, the cost will vary depending on the amount and frequency of the matching contributions.
Bundled Services
Some providers may offer bundled services that include plan setup, ongoing administration, and investment management, which can potentially save you money compared to purchasing these services separately.
Investment Expenses
Beagle 401k, like all other 401k plans, has investment expenses which consist of several types of fees. These fees include:
- Expense ratio: This fee covers the operating costs of the investment fund, such as management fees, marketing and administrative costs, and other expenses. Expense ratios can vary widely depending on the fund you choose, so it’s important to compare them before investing.
- Administrative fees: These fees cover the costs of administering the 401k plan, such as recordkeeping, investment management, and other administrative tasks. Administrative fees are typically a flat fee or a percentage of your account balance.
- Transaction fees: These fees apply when you buy or sell investments within your 401k plan. Transaction fees can vary depending on the brokerage or investment platform you use.
It’s important to understand the investment expenses associated with your Beagle 401k plan, as they can impact your returns over time. For example, a fund with a high expense ratio will have lower returns than a fund with a lower expense ratio, all else being equal.
The following table provides an overview of the investment expenses associated with Beagle 401k:
| Fee Type | Description | Fees |
|---|---|---|
| Expense ratio | Operating costs of the investment fund | Varies depending on the fund |
| Administrative fees | Costs of administering the 401k plan | Flat fee or percentage of account balance |
| Transaction fees | Fees for buying or selling investments | Varies depending on the brokerage or investment platform |
Recordkeeping Fees
Beagle 401k charges a recordkeeping fee to cover the administrative costs of maintaining your account. This fee is typically a percentage of the assets in your account and is deducted from your balance on a quarterly basis.
The recordkeeping fee for Beagle 401k is 0.08% of your account balance, with a minimum fee of $25 per quarter. This means that if you have $10,000 in your account, you will pay a recordkeeping fee of $8 per quarter or $32 per year.
Beagle 401k also offers a tiered pricing structure for accounts with larger balances. For accounts with balances over $250,000, the recordkeeping fee is 0.06% of the account balance, with a minimum fee of $62.50 per quarter.
For accounts with balances over $1 million, the recordkeeping fee is 0.04% of the account balance, with a minimum fee of $250 per quarter.
| Account Balance | Recordkeeping Fee |
|---|---|
| $0 – $250,000 | 0.08% of account balance, with a minimum of $25 per quarter |
| $250,000 – $1 million | 0.06% of account balance, with a minimum of $62.50 per quarter |
| Over $1 million | 0.04% of account balance, with a minimum of $250 per quarter |
That’s all I know about the cost of Beagle 401k. If you’re thinking about opening a Beagle 401k, please be sure to read the plan documents carefully. Thanks for reading, and be sure to come back later for more Beagle-related content!