Comparing 401(k), 403(b) and 457 Plans

	401(k) (for comparison only)	403(b)	457	Roth 403(b)
Who is eligible?	Employees whose employers offer the plan (private employers, some nonprofit employers)	Employees of nonprofits such as public schools and some hospitals, charitable organizations	State and local government employees	Employees of nonprofits such as public schools and some hospitals, charitable organizations
Pre-tax contributions?	Yes	Yes	Yes	No
Limits on employee contributions (2012)	Up to $17,000	Up to $17,000	Up to $17,000	Up to $17,000
Age 50+ catch-up contributions	$5,500	$5,500	$5,500	$5,500
Other catch-up	No	Yes – 15-year rule*	Yes – final 3-year provision**	Yes – 15-year rule*
Distributions while still employed(in-service distributions)	Only on hardship if under age 59½	Only on hardship if under age 59½	Only on account of unforeseeable emergency	Only on hardship if under age 59½
Distributions without tax penalties	Retirement after age 55 Death or disability Payments after age 59½ Lifetime annuity or installments Rollover to other qualified plan or IRA	Retirement after age 55 Death or disability Payments after age 59½ Lifetime annuity or installments Rollover to other qualified plan or IRA	Termination from employment at any age Death or disability Unforeseeable emergency	Age 59½ and hold account at least five years Other provisions same as 403(b)
Distributions with penalties	10% prior to age 59½, except as above	10% prior to age 59½, except as above	None	Same as 403(b)
Required minimum distributions	April 1 following the year participant reaches age 70½	April 1 following the year participant reaches age 70½	April 1 following the year participant reaches age 70½	Same as 403(b)
Tax treatment of distributions	Ordinary income tax	Ordinary income tax	Ordinary income tax	Tax-free if qualified distributions
Rollovers allowed to other plans	Yes – to 401(k), 403(b) or 457 plan (allowed but not required) Yes – to IRA	Yes – to 401(k), 403(b) or 457 plan (allowed but not required) Yes – to IRA	Yes – to 401(k), 403(b) or 457 plan (allowed but not required) Yes – to IRA	To another designated Roth account, but only by direct rollover (allowed but not required)

^* Eligible employees with 15 or more years of full-time service may be able to contribute up to $3,000 more for five years, or a maximum of $15,000.
^** May be eligible to defer up to two times the contribution limit in effect for the final three years of service. Employees cannot participate in the 3-year catch-up and the 457 plan age 50+ catch-up during the same tax year.