State/Government Sponsored Plans

Government-sponsored retirement plans help employees save for the future through tax-advantaged investment accounts. These plans, such as 401(k)s, 403(b)s, and Thrift Savings Plans (TSPs), are typically offered by public sector employers and nonprofit organizations. Contributions are often deducted directly from paychecks, encouraging consistent saving. Many employers match a portion of employee contributions, further boosting retirement income. These plans follow IRS rules for contributions, withdrawals, and required distributions. Designed to promote financial security in retirement, they offer both traditional and Roth options. Government oversight ensures transparency and fairness. Workers should evaluate plan features carefully to maximize long-term benefits.