What is a 401(k) committee?

A 401(k) plan committee is a group responsible for overseeing a company's retirement plan, ensuring it is well-managed and in compliance with applicable law, rules and regulations. . While not legally required, forming a committee helps improve oversight and creates prudent fiduciary governance for your plan and its assets. Typically, members include senior leadership, HR representatives, and legal and compliance, each contributing their expertise to decision-making. The committee’s duties depend on the fiduciary duties of the plan, but generally include monitoring investments, reviewing plan fees, reviewing regulatory compliance, and tracking employee participation. By meeting regularly and documenting decisions, a 401(k) plan committee helps maintain a strong, compliant, and effective retirement plan for employees.