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Daisy

Over Contributed

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Just found out that I over contributed to my 457b. The provider just now informed me of this over-sight and now it is April 16th. Notification was due by the 15th. Anyone know what the consequences are? It looks like I may be elgible for a catch-Up if I am within 3 years of "Normal Retirement Age". But what if my plans change and I decide I can not afford to retire?

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Daisy,

 

Ask to see your employer's 457(b) Plan Document which will explain the workings of the 3-year-catch up rule.

 

Dan Otter

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Guest Sierra

You misunderstand! One is not compelled to retire at the end of the third year.

 

Joel L. Frank

Pension Columnist

The Chief-Civil Service Leader

277 Broadway

New York, NY 10007

 

 

Just found out that I over contributed to my 457b. The provider just now informed me of this over-sight and now it is April 16th. Notification was due by the 15th. Anyone know what the consequences are? It looks like I may be elgible for a catch-Up if I am within 3 years of "Normal Retirement Age". But what if my plans change and I decide I can not afford to retire?

 

 

One should always take advantage of the three year catchup provision and effectuate it as early as possible ie withing 3 years of the NRA. By so doing you will gain the additional years of tax-deferred growth should you retire after your NRA ie age 70.

 

Peace and hope,

 

Joel L. Frank

Pension Columnist

The Chief-Civil Service Leader

277 Broadway

New York, NY 10007

 

 

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Just found out that I over contributed to my 457b. The provider just now informed me of this over-sight and now it is April 16th. Notification was due by the 15th. Anyone know what the consequences are? It looks like I may be elgible for a catch-Up if I am within 3 years of "Normal Retirement Age". But what if my plans change and I decide I can not afford to retire?

 

 

 

Daisy:

 

Do you participate in a govt 457b or Non profit 457b plan?

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