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What Is A 403K

A 403(b) plan is a kind of defined contribution retirement plan that may be offered to employees of government and tax-exempt groups, such as schools, hospitals and churches.

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A 403b is a tax-deferred retirement plan that is very similar to a 401k. That is, it allows you to set aside pre-tax dollars out of your paycheck to save for retirement – up to $16,500 per year, and for some people, the limit may be higher.

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A 403(b) plan is a retirement plan for specific employees of public schools, tax-exempt organizations and certain ministers. These plans can invest in either annuities or mutual funds.

In the United States, a 403(b) plan is a U.S. tax -advantaged retirement savings plan available for public education organizations, some non-profit employers (only Internal Revenue Code 501(c)(3) organizations), cooperative hospital service organizations, and self-employed ministers in the United States.

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Ultimate guide to retirement. The main difference is the type of employers who can offer them. Unlike 401(k) plans which are offered by for-profit companies, 403(b) plans are only available to employees of tax-exempt organizations. These are usually either schools, hospitals or religious groups.

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FHA 203k loans are backed by the federal government and given to buyers who want to buy a damaged or older home and do repairs on it. Skip main navigation Homepage

403b vs. 401k: What’s the Difference? Last modified by Jeff Rose on June 10, 2019 I know that you were losing sleep because I had not written a post yet that outlines the differences between a 403(b) vs. 401(k).