Ask Rande 10,000+

Top 556. Nov 26, 2001 9:11 AM

» Bdavidson - 457B

It's time to renew the benefits packages at work, and this year I've encountered something new. In addition to the 401k/403b retirement plans, they're also offering a 457B, as well. I called the human resources office, but they weren't all that helpful. Apparently, this is a relatively new offering, which enables some employees to shuck away a little extra money, tax-deferred. Anyone ever heard of this who can give me more information? I have a call into the the HR manager, but have not yet received a call back.
Thanks.
bd

-- posted by Bdavidson

Top 557. Nov 26, 2001 9:19 AM

» mdorsey - Re: 457B

In response to message posted by Bdavidson:

Start learning here about 457 accounts.

http://457.mpower.com/

-- posted by mdorsey

Top 558. Nov 26, 2001 9:46 AM

» Bdavidson - Re: Re: 457B

mdorsey,
Thanks for the information. In looking over the articles, I don't see the benefit of contributing to a 457b over the 403b. If you're limited to a total of $11,000 in 2002 for both plans combined, why contribute to a 457 in the first place? Is there some hidden advantage?
bd

-- posted by Bdavidson

Top 559. Nov 26, 2001 12:14 PM

» mdorsey - Re: Re: Re: 457B

In response to message posted by Bdavidson:

My only option was 457. I had no match from my employer. I would use the option with a match first. With a 457 you can start distributions when you qualify. I started penalty free distributions at age 52. In January some improvements for 457 accounts go into effect.

-- posted by mdorsey

http://www.geocities.com/WallStreet/8257...

Top 560. Nov 26, 2001 1:20 PM

» mdorsey - Retirement site.

Here is another useful site for retirement planning.

-- posted by mdorsey

Top 561. Nov 26, 2001 3:22 PM

» Rande - Re: 457B

In response to message posted by Bdavidson:

Brad,

Looks like you got a good info link from md.

P.S. I'm travelling on business all week but will try to check in when I can.

-- posted by Rande

Top 562. Nov 26, 2001 9:40 PM

» JackSwanson - Stinker

Rande,

Can we say Stinker blew it. Where was his mother of all buying opps. I heard him say he'd re-enter the market at much lower prices, and he said that when the dow was around 10,000. What this man has done to listeners is criminal.

-- posted by JackSwanson

Top 563. Nov 27, 2001 7:02 AM

» Kirk - Re: Stinker

In response to message posted by JackSwanson:

Hey Jack. Good to hear from you. It is well known that market timing needs to be right twice, on the sell and then again on when to buy back. Brinker bought back with QQQs and lost a ton... then seems to have missed the recent bottom but we will ONLY know if Sept 21 was a bottom in the years ahead...

lets not pollute this fine discussion forum of Rande's with further talk of Brinker. Take it here if you must http://www.suite101.com/discussion.cfm/i...

BTW, Rande is on a business trip so will only be checking in now and then to answer questions. You might actually have to wait a few hours for an answer from Rande this week. smile

Thanks

-- posted by Kirk

Top 564. Nov 27, 2001 4:18 PM

» pjstack - Fund swap.

A month or so ago I sold some VTSMX (Wilshire 5000 index fund) and bought USSPX (S&P 500 index fund) to take advantage of a loss for taxes.

But I forgot that I have an automatic $500/month purchase of VTSMX set up, so I guess I violated the rules regarding wash sales. To have been completely in compliance should I have cancelled my automatic monthly purchase payment? Or, in a rare burst of common sense, would the IRS consider this as "new" money not related to the fund swap between VTSMX and USSPX?

How about my ongoing monthly purchases of VTSMX? They don't somehow affect compliance with wash sale rules, do they?

pjstack@aol.com

-- posted by pjstack