Page ATT-SP - 34 & 35. And you're right, it is not 2%, they range from 0.53% to 2.80% (2006); and I guess after re-reading, they only apply to the "new funds" and not to the BrokerageLink account. The percentage includes a flat 0.5% on all funds for "Administrative Trustee, and Recordingkeeping fee" which is separate from the "Investment Management Fee". The 2007 fee were 0.5 - 3.3% + an additional .5%. From the way it reads, the .5% goes to the administrator of the Plan which in this case is Mellon Bank. I was mistaking the .53%-2.8% for the .5% charged on all funds....

I thought I saw something where if you do not do anything (ie: open a BrokerageLink account) they automatically transfer all your money into AT&T Stable Fund or something but now I can not find it. Do you remember seeing it? If so, do you remember where?

I did see where they say they will put new contributions into AT&T Age-Based Asset Allocation funds, through (page 19) if you do not choose your investment funds.

Thanks,

-d

dj said:I "think" you have your decimal point off. The charges are .05% of 1% to .28% of 1% which yields a charge of .53 cents to $2.80 per THOUSAND dollars.

To me, these are very low fees.

You are probably right. I will take another look at the number. However, after looking at the new plan and BrokerageLink -- unless you're really in love with the current non-transferable mutual funds (any non-"AT&T named" funds), it is probably better to just rollover to a traditional IRA.

I guess one reason to open the BrokerageLink is that some of the funds are closed or non-transferable, like Fidelity Low Priced Stock, Fidelity Diversified In'tl, T. Rowe Price Mid-Cap Growth, American Funds Capital World G/I R5 and T. Rowe Price Small-Cap Stock.

Another would be to keep the lower cost fee (admiral / institutional shares) as there is a 100K minimum on those types of shares; at least for the two Vanguard funds (Windsor II and US Growth).

-d

P.S. Why people are giving red to the topic? I guess they don't like 401K or AT&T?

Beernuts82 said:dlong said:

P.S. Why people are giving red to the topic? I guess they don't like 401K or AT&T?

Maybe because you could have answered these questions with a 30 second phone call to the plan administrator???

Actually, I have called both Fidelity and the new plan administrator and either the plan is too new or they hired people that know nothing about the plan .... I made 5 calls and 1 chat and only on two calls have I gotten the same answer -- so I can't even trust those that answer. On one call the representative and said, "I don't know, let me transfer you to a another group that could answer your question (but turned out it wasn' the right group)." Oh yeah, the calls were not 30-second.

-d