RETIREMENT SOLUTIONS
457(b) Retirement Plans
Flexible retirement solutions for public and non-profit sectors.
457(b) plans exist alongside 403(b) and 401(a) plans for people who serve in the public and non-profit sectors, allowing employees to save for retirement on a tax-deferred basis.
This type of plan is primarily for civil servants, municipal employees, law enforcement officers and public safety personnel. In addition, executives at hospitals, charities, and unions, as well as some independent contractors employed by state and local governments, can participate in 457(b) plans. Employer contributions to 457(b) plans are typically discretionary.
Compared to 403(b) and 401(a) plans, 457(b) plans often offer more flexibility when it comes to early withdrawals. While withdrawals from a 457(b) plan are subject to ordinary income tax, there is generally no early withdrawal penalty for distributions taken before age 59½ if the participant has separated from service. Compared to 401(a) plans, 457(b) plans also offer more diverse investment options.
Confused about which plan you need?
Your choice will depend on your organization’s goals, talent and recruitment challenges, employee demographics, budget and regulatory requirements.
Our 457(b) plan features include:
- Plan evaluation and design
- Onsite IRS audit representation and information document request (IDR) preparation
- Regulatory technical assistance
- Investment provider evaluation and relationship management
- Assistance in structuring employment and collective bargaining agreements that allow for payment of benefits to a retirement plan.
- Creative funding structures including using unused vacation and sick time (Special Pay Plans)
- 457(b) plans can also be used as an alternative to Social Security for seasonal, part-time and temporary employees through a benefit called the FICA Alternative Plan.
Our process covers all the services you need:
We’ll save you time and effort in choosing and offering your plan and, ensure it continues to operate as cost efficiently as possible.