"A nurse at a non-profit hospital who maxes both contributes $49,000 annually in pre-tax dollars. A nurse at a for-profit hospital is capped at $24,500 in their 401(k)."
"The 457(b) has no such penalty. There is no 10% early withdrawal penalty at any age, only ordinary income tax."
"For nurses between 60 and 63, the gap widens further. SECURE 2.0 introduced a 'super catch-up' provision that allows employees aged 60 to 63 to contribute an additional $11,250 per plan."
Nurses at non-profit hospitals can contribute to both a 403(b) and a 457(b), allowing them to maximize their retirement savings. The 403(b) and 457(b) have separate contribution limits, enabling non-profit nurses to contribute a total of $49,000 annually in pre-tax dollars. For those aged 60 to 63, the contribution limit increases to $71,500. Additionally, the 457(b) allows penalty-free withdrawals before age 59½, providing a significant advantage for early retirees compared to traditional 401(k) or 403(b) plans.
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