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Two separate 457b plans in 1 year?

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  • Two separate 457b plans in 1 year?

    I am curious, my wife will be leaving a fellowship this coming year. She is eligible for a governmental 457b at fellowship, so we plan to contribute $19,000 over the January - June time frame. One of her potential jobs she would start for the second half of 2019 also has a 457b plan. Could we contribute another $19,000 into that plan in the same fiscal year? Much like you can have two different 401ks and profit share both to the max if the % of your IC income from different sources will allow it. Or like the employee contributions of a 401k, is the limit across all plans for that year? I tried looking at the IRS rules and don't believe it answers this. I guess you could contrive that the phrase "A 457(b) plan’s annual contributions and other additions (excluding earnings) to a participant’s account cannot exceed" using account as singular rather than plural might imply you could contribute the max to multiple accounts, but it seems flimsy. Anyone have any experience with this or thoughts?

  • #2
    Nope. 1 457 I think.


    • #3
      There is only one 457b contribution limit across all 457b plans. This limit is separate to, but equal to the employee elective contribution limit to qualified plans. This limit includes all employees and employer contributions, but it is extremely rare to have employer contributions to a 457b plan.