Beyond a 401(k)--Understanding a 403(b), 457, and 401(a)

This episode of Money Girl explores the nuances of various workplace retirement plans beyond the familiar 401(k), focusing on 403(b), 457, and 401(a) plans. Host Laura Adams answers a listener’s question about maximizing contributions across multiple plans, clarifying that these plans operate under different sections of the IRS code and thus have separate contribution limits. She explains that while 401(k)s and 403(b)s share an annual limit, 457 plans do not, allowing individuals to contribute to both simultaneously. The 457B offers unique early withdrawal flexibility—no 10% penalty after leaving the employer regardless of age—making it ideal for early retirees. The 401A, often mandatory and common in government and nonprofit sectors, allows up to $72,000 in contributions, independent of other plans, enabling 'triple-dipping' for high earners. New 2026 rules include a super catch-up contribution for ages 60–63 and mandatory Roth treatment for high earners’ catch-up contributions. Adams provides strategic advice: prioritize a 403(b) with employer match, otherwise favor the 457B for flexibility. She emphasizes the importance of understanding plan-specific rules to avoid penalties and maximize retirement savings. The episode concludes with a call to action for listeners to join her free newsletter, The Money Stack, and submit wedding finance questions for an upcoming special series.