The Charles Schwab Corporation 401(k) Review & Grade
Schwabplan Retirement Savings and Investment Plan
Westlake, TXFinance & Insurance33,298 active participantsPlan year 2024✓ Auto-enroll
Estimate from the plan's Form 5500 filing · How we grade
$6,551Employer $ per active participant
$12,594Employee $ saved per active participant
0.05%Direct admin cost, % of plan assets
$8.9BNet plan assets, end of year
$207,434Average balance per account
Score breakdown
- Employer generosity30.3 / 5061th percentile for employer $ per participant
- Low cost17.4 / 2570th percentile for low admin cost vs. same-size plans
- Employee saving12.9 / 1586th percentile for employee $ per participant
- Plan features10 / 10Auto-enrollment, Default investment
- Red-flag deductions-3 pts1 issue reported on the filing
Total score68 / 100 · Grade B
This plan vs. peers
Peers: Finance & Insurance plans with 10,000+ active participants (72 plans).
| Measure | Percentile |
|---|---|
| Employer $ per participant | 61th |
| Lower admin cost | 70th |
| Employee saving | 86th |
| Peers that auto-enroll | 74% |
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Red flags from the filing
Corrective distributions: the plan refunded $39,309 in contributions, which usually means it failed annual nondiscrimination testing.
What to do if you're in this plan
- Charles Schwab put in about $6,551 per active participant, more than the typical peer ($5,179). Contribute at least enough to collect the full match. Skipping it leaves part of your pay on the table.
- The filing shows total dollars, not the match formula. Ask HR for the Summary Plan Description so you know the exact match and vesting schedule.
- Fund expense ratios aren't in the filing. Look them up in your 404(a)(5) fee disclosure and favor low-cost index or target-date funds.
- The plan auto-enrolls employees. Check your default contribution rate. Defaults are often lower than what it takes to get the full match.
- Changing jobs? You can usually leave the money in the plan, move it to your new employer's plan, or roll it into an IRA. Don't cash out: you'd owe taxes and possibly a 10% penalty.
The raw numbers from the filing
| Employer contributions | $218,128,123 |
| Participant (employee) contributions | $419,375,550 |
| Other contributions (incl. rollovers in) | $51,984,801 |
| Administrative expenses paid from the plan | $4,368,440 |
| Investment advisory & management fees | $4,104,122 |
| Benefits paid out | $796,932,612 |
| Net assets, start / end of year | $8.0B / $8.9B |
| Active participants, start / end of year | 34,452 / 32,145 |
| Participants with account balances | 43,060 |
| Auto-enrollment (feature code 2S) | Yes |
| Auditor | Deloitte & Touche LLP |
| Employer stock held by plan | $625,513,098 |
Largest service providers (Schedule C)
| Schwab Retirement Plan Services | $2,750,314 reported compensation |
| Charles Schwab & Co., Inc. | $319,890 reported compensation |
| Creative Planning LLC | $130,966 reported compensation |
Source: DOL EFAST2 Form 5500 filing, acknowledgment ID 20251113121430NAL0001050211001, received 2025-11-13, EIN 94-3025021, plan #002, plan year 2024-01-01 to 2024-12-31. Verify at efast.dol.gov.