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What is 403(b) plan?

Similar to a 401(k) plan, the 403(b) plan is a tax-sheltered retirement plan but specifically for employees of public schools, certain ministries and other tax-exempt organizations. Individual 403(b) plans can be set up through an annuity contract, a custodial account or a retirement income account. 403(b) plans typically have regulatory caps.

Other Financial Terms and Vocabulary

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