A 457(b) plan is a Tax-Deferred Retirement Plan available to employees of state and local governmental agencies, including public school employees. They are similar to 401(k) plans because they allow you to place a percentage of your salary into an employer-sponsored plan that helps you save for retirement. Pre-tax and Roth Contributions are available.
Benefits Include:
- Investment options: Mutual funds
- Flexibility: start, stop, and adjust your contributions as allowed by your employer’s plan. The minimum contribution is $10 per pay period.
- Receive quarterlyaccount statements
- No 10% federal penalty for early withdrawalof pre-tax assets. Different rules apply to Roth contributions. You must be separated from service in order to withdrawal.
Contribution Limits:
- Participants may contribute up to $22,500 for year 2023.
- Participants age 50 and older at any time during the calendar year are permitted to contribute an additional $7,500 in 2023, for a total of $30,000.
- The Pre-Retirement Catch Up provision allows eligible employees to contribute up to $45,000 in their last three years of employment. Please see Sallie Harborth with MissionSquare for additional information and forms.
All investing involves risk. Past performance is not a guarantee of future returns.
MissionSquare Retirement
Sallie Harborth
Retirement Plans Specialist
Work: (202) 759-7098
Cell: (202) 253-7691
Email: sharborth@missionsq.org
Web: www.missionsq.org
CLICK HERE TO SCHEDULE A ONE ON ONE ACCOUNT REVIEW WITH SALLIE.