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1.
How are contributions to 403(b) plans made?
Reductions in salary. Employees sign agreements to let their employers take certain amounts from their wages and put them into the plans.
2.
In order to take an early distribution from a 403(b) plan due to severance from employment, how old (at the minimum) must you be in the year it is taken?
55. You must be at least 55 in the year that you take it.
3.
A 403(b) rollover is the moving of your 403(b) plan from its current custodian (holder) to the government.
False. It is the moving of your 403(b) plan from its current custodian (holder) to another custodian.
4.
Employees who work for for-profit organizations are allowed to participate in 403(b) plans.
False. The Internal Revenue Code limits participation to those who work in the non-profit sector.
5.
Your employer may match the contributions you make to a Roth 403(b) plan.
True. Your employer may; however, the matches will be pre-tax.