BACK

Is there a penalty for early withdrawals from a 457 plan?

No. Unlike with 401(k)s and 403(b)s, the IRS won't slap you with a penalty on withdrawals you make before age 59 ½ once you leave the company. You will, however, owe income tax on all withdrawals, regardless of your age. So busting into a 457 plan early still isn't a good idea. Leaving the money to compound until you're ready to retire will leave you with a much bigger nest egg. To top of page

Most stock quote data provided by BATS. Market indices are shown in real time, except for the DJIA, which is delayed by two minutes. All times are ET. Disclaimer. Morningstar: © 2018 Morningstar, Inc. All Rights Reserved. Factset: FactSet Research Systems Inc. 2018. All rights reserved. Chicago Mercantile Association: Certain market data is the property of Chicago Mercantile Exchange Inc. and its licensors. All rights reserved. Dow Jones: The Dow Jones branded indices are proprietary to and are calculated, distributed and marketed by DJI Opco, a subsidiary of S&P Dow Jones Indices LLC and have been licensed for use to S&P Opco, LLC and CNN. Standard & Poor's and S&P are registered trademarks of Standard & Poor's Financial Services LLC and Dow Jones is a registered trademark of Dow Jones Trademark Holdings LLC. All content of the Dow Jones branded indices © S&P Dow Jones Indices LLC 2018 and/or its affiliates.