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1.
Certain senior employees can make a catch-up contribution to their 457 plan in addition to the one already allowed.
True. There are restrictions and rules, but a certain class of employees does have this benefit.
2.
There are situations in which rolling over a 457 may result in you having to pay taxes.
True. If you don't roll over all of it, or if you don't place the funds into the new account within 60 days, you can be taxed on the amount that is not rolled over.
3.
There is no penalty on early distributions from a 457 plan upon termination of employment, whether voluntary or involuntary.
True. This is one way that 457s differ from other plans.
4.
Which of the following employees is not eligible to participate in a 457 plan?
The secretary of a new, private startup company. 457 plans are allowed only for employees of government or non-profit companies.
5.
At what age MUST you begin taking distributions from your 457 plan?
73. This age is standard for many retirement plans.