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InvestHub.com's
Finance Dictionary and Glossary of Investment Terms

403(b)  

Definition 1.

Similar to a 401(k) plan, these plans are offered by nonprofit organizations, schools and colleges to their employees. The 403(b) plans are often known as tax-sheltered annuities. Employees are allowed to annually contribute up to 20% of their salary. (But some veteran employees may be able to contribute more to "make up" the years when they did not contribute their maximum.
 
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