Schwab Drops Small Business Retirement Plan Fees

November 16, 2005 ( - Charles Schwab has dropped account service fees on retail defined contribution retirement plans for small business owners and the self-employed effective October 1, 2005.

A Schwab news release said that these plans include:

  • Individual 401(k) plans
  • 403(b)(7) plans
  • Qualified Retirement Plans (profit sharing and money purchase pension plans)
  • Keogh plans
  • SEP-IRAs

The fee elimination does not apply to retirement account services offered through Schwab Institutional or Schwab Corporate Services, which, respectively, provide trading and custody services to independent investment advisors, and corporations and third party administrators, according to the announcement.

In addition to eliminating fees, Schwab has stepped up its efforts to raise awareness and educate small business owners about their retirement plan options. A new Guide to Small Business Retirement Plans, available at , should help small business owners decide which plan may be best for them.