What’s the difference between a 401k, 401a, and 403b?

People often get confused in the “400” space considering the fact that there are a few options, 401k, 401(a), and 403(b). Ultimately, they all work almost the same way, and all have the same IRS contribution. In 403b’s, we don’t usually see money matching as much as we see in the other account types. However, they all share the same purpose, to help people save for retirement by allowing them to save their own money, with a possible match from their employer. 401k’s are usually used by companies, and 403b’s are usually seen in non-profit organizations. Moreover, 401a’s are typically seen at non-profit organizations and government entities. The different names represent how the documents are written in the back end, but for employees saving for retirement, all of these different accounts have the same goal.

Have more questions? Contact Us

Casey Smith
President, Wiser Wealth Management

Click here to schedule a consultation with one of our financial planners.

Listen to Our Podcast:

learn-more-2024-new

Recent posts

  • Why Business Owners Need an Exit Strategy

Share This Story, Choose Your Platform!

Wiser Wealth Management, Inc (“Wiser Wealth”) is a registered investment adviser with the U.S. Securities and Exchange Commission (SEC). As a registered investment adviser, Wiser Wealth and its employees are subject to various rules, filings, and requirements. You can visit the SEC’s website here to obtain further information on our firm or investment adviser’s registration.

Wiser Wealth’s website provides general information regarding our business along with access to additional investment related information, various financial calculators, and external / third party links. Material presented on this website is believed to be from reliable sources and is meant for informational purposes only. Wiser Wealth does not endorse or accept responsibility for the content of any third-party website and is not affiliated with any third-party website or social media page. Wiser Wealth does not expressly or implicitly adopt or endorse any of the expressions, opinions or content posted by third party websites or on social media pages. While Wiser Wealth uses reasonable efforts to obtain information from sources it believes to be reliable, we make no representation that the information or opinions contained in our publications are accurate, reliable, or complete.

To the extent that you utilize any financial calculators or links in our website, you acknowledge and understand that the information provided to you should not be construed as personal investment advice from Wiser Wealth or any of its investment professionals. Advice provided by Wiser Wealth is given only within the context of our contractual agreement with the client. Wiser Wealth does not offer legal, accounting or tax advice. Consult your own attorney, accountant, and other professionals for these services.

Sign up for our newsletter!

Our latest blogs, podcasts, and educational videos delivered to your inbox weekly.