What contribution limits apply to a 457(b) plan and can I stack it with a 401(k)?

A governmental 457(b) has its own employee deferral limit set annually by the IRS, and crucially, it is separate from the 401(k)/403(b) limit. If your employer offers both a 457(b) and a 401(k) or 403(b), you can generally max out each one independently in the same year, effectively doubling your tax-advantaged deferral room.

This makes 457(b) plans valuable for public-sector and some nonprofit employees. The 457(b) also has a unique final-three-years special catch-up that can let you contribute up to double the normal limit as you approach the plan's normal retirement age. Because these limits change yearly, confirm current figures at irs.gov, and verify whether your 457(b) is governmental or nongovernmental, since the rules differ significantly.