Section 457 Deferred Compensation Plan

Definition of "Section 457 deferred compensation plan"

James Rice real estate agent

Written by

James Riceelite badge icon

Weichert Realtors Hallmark Properties

Plan in which a public employer (such as a university, state, county, or municipality) sponsors a retirement savings program, named for the section of the Internal Revenue Code that permits it. This plan allows the employer, upon agreement with the employee, to reduce the employee's salary by a specific amount and invest this amount, with pre-tax dollars, in various financial instruments. Upon termination of employment, the principal amount invested and any investment earnings are distributed to the terminating employee or the employee's estate. A deferred FIXED DOLLAR ANNUITY or VARIABLE DOLLAR ANNUITY are among the financial instruments that can be used to fund this plan.

 

Need help as a:

I'm interested to:

Buy
Sell
Rent

I work in:

Residential
Commercial
Rental
Reach out to the local professionals for help
 
I agree to receive FREE real estate advice.

Agents, get listed in your area. Sign up Now!

Here's what you'll get:

1. Full zipcodes coverage for the city of your choice for 3 months

2. The ability to reach a wider audience

3. No annual contract and no hidden fees

4. Live customer support/No robo calls

$75 - Any City - 3 Months Coverage
 
loader gif

Please wait ...

I agree to receive FREE real estate advice
I agree with Terms & Conditions and Section 5-5.9.

image of a real estate dictionary page

Have a question or comment?

We're here to help.

*** Your email address will remain confidential.
 

 

Popular Insurance Terms

Allocation of funds in a retirement plan. ...

Utilization of life insurance to make annual gifts into a trust in order to produce the largest tax-free death benefit possible to the trust beneficiaries. ...

Interest earned but not yet paid for a period of time that has elapsed since the last interest payment. ...

Agents, managers, and office personnel serving in the branches of an insurance company. ...

Recording and presentation of financial statements, such as the annual statement, by the insurance company. Financial reporting statements are used by the State Insurance Commissioner in ...

Organization of home office underwriters of life insurance companies. HOLUA offers educational material and national examinations for home office life underwriters, the individuals who ...

Life insurance policy provision stating that after the death of an insured, the proceeds from a policy are not immediately paid to the primary beneficiary; instead, they are delayed for a ...

Provision in marine insurance listing onshore perils covered. In the case of marine cargo, these may include such occurrences as damage from flooding, sprinklers, collapse of docks, and ...

Subtraction of a number of years from a standard table of life insurance rates under the assumption that a particular group-women-outlive men and presumably will be paying premiums for a ...

Popular Insurance Questions