I hate paying fees; they cut into our cash flow and they can cost us big in the long run. It's amazing how fees are charged for everything these days, fortunately a lot of these fees you can eliminate or control.
When it comes to managing their investments, many people are simply unaware of what they're paying. We are often tempted to turn a blind eye to fees, especially when feeling uncertain about how things work or even the questions we should be asking.
It is easy to forget that 401(k) plans have only been around for three decades. We have learned a lot in that period, and the jury is now in: The 401(k) experiment has failed. This system does a better job of enriching the financial sector than in providing retirement security to Americans.
So what happens in a marketplace when buyers lack information and can't easily exercise consumer choice? Sellers can charge whatever they want. And this is pretty much the case in the 401(k) marketplace.