The Power of State Based 457b and 403b Plans 💪
March 24, 2021
How would you like access to an S&P 500 fund that charges 0.0084% in fees? This is not a misprint. To put it another way: How would you like to pay 8.4 cents in fees for every $1,000 you have invested?
The S&P 500 fund in question is available through the New York State Deferred Compensation 457(b) Plan. A bond fund is available for 0.0198%. All of which makes the international fund charging 0.15% seem expensive. I kid, of course. Perhaps the best news is that this 457(b) plan is basically available to any school district in the state of New York wise enough to make it available.
- Fund Lineup and Costs
- Check Availability in Your NY District
- How to Enroll in NYS Deferred Compensation (457(b) plan)
What’s the Secret?
While the fees are low, the assets under management are huge: $31 billion huge. The reason? More than 250,000 employees from school districts and other governmental organizations participate. Talk about economies of scale. This gives the plan power to negotiate. And negotiate they did to the benefit of employees. Imagine if all states offered a similar 457(b) and 403(b) plan to school employees?
Live 403bwise Event: The Power of State Based 403(b) and 457(b) Plans
On April 6th from 4-5:15pm PACIFIC, Sandy Blair, Director of Retirement Readiness for CalSTRS, and Christina Elliott, executive director of Ohio’s state-based 457(b) plan will discuss the power of a state-based 457(b) and 403(b) plan available to K-12 school employees.
You can register for this free event here.
Stay wise and well (and I hope you can join us at this event).
The Excellent Ohio 457(b) We talk 457(b) with Christina Elliott, executive director of Ohio’s excellent state-based 457(b) plan which is open to all Ohio K-12 public school teachers. Listen Now »