Governmental 457(b) plans are "especially good for those who retire early or need flexibility" because—unlike IRAs and 401(k) plans—they allow withdrawals before the age of 59½ without the ...

this is why people defer into a 457(b) rather than having to wait on their 401(k), which has penalties for withdrawals before age 59½." Related: How to plan 457(b) withdrawals in retirement with ...

You will, however, owe income tax on all withdrawals, regardless of your age. So busting into a 457 plan early still isn't a good idea. Leaving the money to compound until you're ready to retire ...

With a 457 plan, you're still subject to Required Minimum Distributions (RMDs) from your account starting at age 72 or 73, depending on your birth year. The exact annual amount varies based on age ...

If you work for a government agency or non-profit organization, a 457 plan with more flexible withdrawals may be more ... retirement decisions from a young age will help prepare you for the ...

Early distributions from 457(b) plans The good news is that distributions to workers who retire early are less taxing. Early distributions, those before age 59 ½, from 457(b) plans are not ...

State and local government employees can invest more in their 457 plans in 2025 than in 2024. Similar to the better-known 401(k) plan in the private sector, the 457 plan (sometimes called a "457(b ...

457(b) plans are subject to a stricter ... traditional hardship withdrawals may be subject to penalty if made before age 59½.

However, any distributions taken before age 59.5 from the IRA may incur a 10% early withdrawal penalty. Benefits of Rolling a 457(b) Plan Into an IRA Rolling a 457(b) plan into an IRA can provide ...

In general, a retirement plan can begin distributing money after a participant reaches a certain age—usually ... retirement withdrawal from your 401(k) plan, 403(b) plan, or 457(b) plan due ...

You will, however, owe income tax on all withdrawals, regardless of your age. So busting into a 457 plan early still isn't a good idea. Leaving the money to compound until you're ready to retire ...