Evergy 401k Settlement Covers American Century Target Date Funds for Participants, Payout Varies

Evergy’s 401(k) class action centers on allegations about how participants’ retirement accounts were managed within the Evergy 401(k) Savings Plan, specifically for people who invested in American Century Target Date Funds. Target date funds are designed to become more conservative as a participant’s retirement date approaches, but the suit asserts that participants were adversely affected by investment decisions—often involving claims that certain fees, fund selections, or ongoing management practices were not in line with what fiduciaries are required to do under federal retirement law. In practical terms, the lawsuit focuses on participants and beneficiaries who held those particular investments and whose outcomes may have been impacted by the plan’s handling of them. The case was filed to challenge those alleged fiduciary breaches and to seek monetary relief through a settlement, which is why it’s significant: instead of waiting for a trial, eligible participants may receive a payout if their account holdings fall within the covered investment set. The “payout varies” language reflects that compensation can differ based on factors such as the timing and amount of investments in the affected funds. Broader implications matter because fiduciary-fund selection disputes like this are common in the retirement-plan industry—especially in lawsuits that question whether plan sponsors and investment committees adequately monitored performance, diversification, and total costs—against the backdrop of regulations under the Employee Retirement Income Security Act (ERISA), which require plan fiduciaries to act prudently and solely in participants’ interests. This settlement also highlights an important industry context: target date funds are widely used by large employers because they offer a “set it and forget it” approach, but their popularity can make them frequent subjects of fee-and-fiduciary litigation when participants believe the oversight process fell short. Similar ERISA class actions have been filed across the country over alleged excessive fees and improper monitoring, sometimes resulting in settlements that cover particular fund families or share certain timelines and eligibility rules. For eligible Evergy participants in American Century Target Date Funds, the settlement is a direct pathway to potential recovery, with the opportunity to claim benefits tied to the class-action process and its stated deadline of 9/17/26, reflecting how retirement-plan litigation can translate into real—though variable—financial relief for investors