Enrollment and Eligibility

Enrollment and eligibility comparison for 403(b) and 457(b) retirement plans
Detail 403(b) 457(b)
Eligible Employees

Class A: Employees whose appointment period is continuous and designated as full-time.

Class B: Part-time or temporary employees may contribute but do not receive an employer match.

 Employees with 9- or 12-month appointments, including full-time, part-time, and temporary employees, may contribute.

Contributions

Contribution rules for 403(b) and 457(b) plans
Detail 403(b) 457(b)
Employee Deferrals Pre-tax or Roth (not both). Whole percentages only. One vendor per plan. Pre-tax or Roth (not both). Whole percentages only. One vendor per plan.
Matching Contributions Dollar-for-dollar match up to 5% of compensation (annual cap $1,650). No employer contribution.
Vesting 5-year cliff Not applicable
Elective Deferral Limit Minimum 1%. Deferrals of 50% or more require HR approval. 2026 limit: $24,500. Minimum 1%. Deferrals of 50% or more require HR approval. 2026 limit: $24,500.
Catch-Up Contributions* Age 50+: additional $8,000 Age 50+: additional $8,000
Special Catch-Up* Ages 60–63: additional $11,250 Ages 60–63: additional $11,250

*If FICA wages exceeded $150,000 in 2025, catch-up contributions must be Roth in 2026.

Distributions

Distribution provisions for 403(b) and 457(b) plans
Detail 403(b) 457(b)
Outstanding Loans One loan per plan One loan per plan
Hardship Available for qualifying financial hardship Unforeseeable emergency only
In-Service at 59½ Allowed Allowed
Death Allowed Allowed
Disability Allowed Not allowed
Termination Allowed Allowed
Early Withdrawal Penalty None after age 55; otherwise 10% None

Providers

Approved retirement plan providers
Detail 403(b) 457(b)
Companies Lincoln Financial, Fidelity, TIAA, Corebridge Fidelity, TIAA, Corebridge
Last updated: 05/05/2026