Key Takeaways There are three main types of 457 plans—governmental 457 (b), non-governmental 457 (b), and 457 (f)—and they each have different rules for withdrawals, rollovers, and taxes.

Section 402 (g) sets the annual deferral limit ($23,000 in 2024) for 401 (k) plans, or similar plans maintained by non-profit and government employers—403 (b) plans, most 457 plans and the ...

Well, you can roll your existing 457 plan into an IRA if in retirement you expect to be in a lower tax bracket, but you need to consider a few important factors before doing so. The 457 Plan: An ...

Prior to the enactment of Section 409A, 1 the general income tax rule was that compensation deferred under an ineligible and unfunded Section 457 (f) plan was includable in gross income in the ...

Since the enactment of Section 409A, however, an “eligible” plan would be subject only to Section 457 treatment on the deferred compensation death benefit, while a Section 457 (f) ineligible ...

Now for the curveball: 457 (b) plans also may allow workers to save extra money starting three years before the “normal retirement age,” which is specified in the plan.

Here’s an example. Example #1: For 2022, 32-year-old Toni is on the faculty at the local state university and participates in its 457 (b) and 403 (b) plans. Assuming adequate levels of compensation, ...

All contributions to 457 plans grow tax-deferred until retirement, when they are either rolled over or withdrawn. All withdrawals are taxable, regardless of the participant’s age. Similar to 401 ...