Below is a letter written to Business Managers who use Tax Deferred Services. In it TDS reveals that they are in the process of moving from giving away services for free to charging vendors $3 per contributing plan participant per month. Here we have a company that has admitted to compliance service issues who now wants to charge 50% more than compliance firms who have had full systems in place at least since the beginning of the year. They are attempting to get the districts to go along with trusting them by saying that they are going to charge vendors and thus the districts still won't pay. Of course this will lead to fewer vendors and higher costs for the participants.