In which schedule is information on service provider fees required to be disclosed?

The requirement to disclose information on service provider fees is found in Schedule C of Form 5500. This schedule is specifically designed to provide details about the compensation received by service providers to the plan, including information on fees for services related to administrative functions, investment management, and recordkeeping.

By including this information, Schedule C ensures transparency regarding how much is being paid to various providers and helps plan fiduciaries and participants understand the costs associated with managing the 401(k) plan. This disclosure is essential for evaluating the overall expenses of the plan and determining whether they are reasonable.

Other schedules, while relevant to the reporting of different aspects of the 401(k) plan, do not focus specifically on the fees paid to service providers. Therefore, they do not meet the requirement to disclose this particular information. Understanding the purpose of Schedule C clarifies why it is pivotal for revealing the financial relationships that can affect plan performance and participant interests.