Question

Which of the following is generally true about 401(k) and 403(b) retirement plans?

Answer 1

I think 403(B) plan is best for retirement plans.

Answer 2

Both 401(k) and 403(b) are appropriate retirement plans that anyone could utilize. Both retirement plans are funded by the individual from their earnings.

In the case of 401(k), the individual funds it from their earnings and their employer matches the same amount that their employee pays to it and is run by a government agency.

403(b) are run and managed by insurance companies that the individual chooses and they contribute any amount that they are comfortable for a guaranteed sum assured at retirement age.