Fee Holiday Saves NC 401(k) and NC 457 Plan Participants $1.6 Million

Treasurer Dale R. Folwell, CPA, and the North Carolina Supplemental Retirement Plans Board of Trustees (Board) unanimously approved a 12-month waiver of its administrative fee at the regularly scheduled quarterly Board meeting held on Feb. 22, saving NC 401(k) Plan and NC 457 Plan (Plans) participants approximately $1.6 million over the next year.  

“We are always looking for opportunities to put money back into the pockets of those that teach, protect or otherwise serve. Thank you to the Board and staff for building efficiencies that lead to cost-savings measures,” Treasurer Folwell said. “This is the third fee holiday in my tenure as State Treasurer, which results in savings of nearly $6 million for participants.” 

The accumulation of reserve funds comes from strong Board oversight and staff’s successful fee negotiations with partners and vendors. The fee holiday equates to 10 cents per $1,000 held in a participant account and begins on Mar. 1. Other fees, including the recordkeeping fee charged by Empower, will continue to apply and appear on participant statements. 

The NC 401(k) and NC 457 Plans are exclusively available to public servants in the state of North Carolina and are among the largest and lowest-cost public plans in the country. The Plans are administered by the North Carolina Department of State Treasurer (DST) and the Board, and offered by more than 1,100 public employers, including state agencies, local governments, school districts and community colleges. Over 550 of these employers offer a contribution to the Plans to help promote retirement readiness. 

“The NC in ‘NC Plans’ stands for North Carolina, but it also stands for ‘Nothing Compares,” said Treasurer Folwell. “The benefits of the Plans go beyond low costs and diverse investments — it features award-winning tools and resources to help public servants of North Carolina save for the future retirement lifestyle they imagine. DST does its part to provide a competitive vehicle for retirement savings and I encourage eligible participants to do their part by taking advantage of the full value of the Plans.”  

DST is also responsible for managing one of the largest public pensions in the United States, with assets of over $119 billion, as well as other funds, 

For more information about the NC 401(k) and NC 457 Plans visit myNCPlans.com.