Sex, Lies and 401(k) Plans?

Well, that is probably overselling this post, but we couldn’t resist the play on the title of the much hyped, much overrated 1989 movie. Regardless, here is an interesting story, out of the soap opera meets 401(k) genre, concerning questions that have arisen over the administration of a prominent law firm’s 401(k) plan as a result of a particularly contentious divorce. At a minimum, it seems to be about just plain bad management of a plan, and at most about something a little worse. Either way, it illustrates the importance of scrupulous and professional management of company benefit plans, something that self-managed smaller plans often struggle to achieve.