403(B) PLan COnsultants - Virginia, Maryland, Washington, DC

403(b) Plan Advisors

Glover Park Wealth is an established 403(b) plan consultant. A 403(b) plan is a tax-advantaged retirement savings plan specifically designed for employees of non-profit organizations, public schools, and certain tax-exempt entities.


This plan allows eligible employees to contribute a portion of their pre-tax or after-tax earnings toward their retirement, helping them build long-term financial security.


Similar to a 401(k) plan, a 403(b) offers tax-deferred growth, meaning employees do not pay taxes on contributions or investment earnings until they withdraw funds during retirement.


A 403(b) plan, also known as a tax-sheltered annuity (TSA) plan, is a tax-advantaged retirement savings plan available to employees of public schools, certain tax-exempt organizations under Section 501(c)(3) of the Internal Revenue Code (such as hospitals, universities, and nonprofits), cooperative hospital service organizations, and self-employed ministers.


The 403(b) plan functions similarly to a 401(k) plan but is tailored for the nonprofit and education sectors.

403(b) Plan Features


Employee Contributions:  Employees can make pre-tax (traditional) or after-tax (Roth) elective deferrals from their salary, reducing taxable income in the contribution year for traditional options. Investment gains and dividends grow tax-deferred (traditional) or tax-free (Roth, if qualified) until withdrawal.


Employer Contributions:  Employers may match contributions, make nonelective or profit-sharing deposits, or provide other incentives, subject to plan rules. Glover Park Wealth with work with recordkeepers and Third-Party Administrators to design, implement, and manage the 403(b) plan on behalf of the non-profit organization. 


Investments:  Low-cost mutual fund line prepared by the Glover Park Wealth 403(b) plan advisors, with participants choosing allocations from plan offerings.


Withdrawals: Distributions are generally taxed as ordinary income (traditional) and available penalty-free after age 59½. Required minimum distributions (RMDs) begin at age 73 years old. Hardship withdrawals or loans may be allowed if the plan permits, consult with your CPA or EA.


Eligibility and Rules: Governed by the IRS with a "universal availability" requirement—plans must offer participation to all eligible employees in a job class. Not all plans are subject to ERISA (Employee Retirement Income Security Act) protections, especially governmental ones, however bankruptcy safeguards do apply.


403(b) plans are portable—you can roll over funds to another eligible plan or IRA upon job change.


403(b) Plan Contribution Limits for 2026


The IRS announced cost-of-living adjustments for 2026 on November 13, 2025, via Notice 2025-67. These limits apply to elective deferrals and total additions in 403(b) plans, aligning with those for 401(k)s and similar plans.


Elective Deferrals (Employee) $24,500 applies to pre-tax or Roth contributions from salary. This is the base limit for those under age 50; shared across multiple 403(b)/401(k)-type plans if applicable.


Age 50+ Catch-Up:  $8,000 (total: $32,500) | Additional deferral for those 50 or older by year-end.


Ages 60–63 Catch-Up (SECURE 2.0):  $11,250 (total: $35,750) | Higher limit if plan allows; replaces standard catch-up.


15-Year Service Catch-Up: $3,000 (lifetime max: $15,000). This is for employees with 15+ years at the same employer; calculated as lesser of $3,000 or formula based on prior contributions (plan must permit).  Consult with the TPA or Plan Administrator.


Total Annual Additions (Employee + Employer): $72,000 (or 100% of compensation). This includes deferrals, matches, and employer contributions; lesser of $72,000 or compensation. Rises to $80,000 with age 50+ catch-up.


Compensation Cap: $360,000, Only the first $360,000 of employee compensation counts toward limits. 


403(b) Plan Contributions for 2026 can be made until April 15, 2027 (tax filing deadline). Overcontributions may incur penalties, so track totals across plans. For after-tax contributions (if allowed), they can fill up to the total additions limit after pre-tax/Roth amounts.


Always verify with your plan administrator or third-party administrator, as not all features.


Gover Park Wealth Management, LLC is a SEC licensed redigested investment advisor (RIA) and 403(b) plan consultant in Maryland, Virginia, Washington, DC, Georgia, and all 50 states. 


Our office is located at the Ballston Exchange:

4201 Wilson Blvd Suite 300 Arlington, VA 22203

Washington Monument stands tall in Washington, D.C., with green fields and city buildings in the background.

Contribution Limits for 403b Plans

Employee Contributions (Salary Deferral)

Employees can contribute up to $23,500 to a 403(b) plan in 2025 if they are under age 50. Those aged 50 or older can make an additional $7,500 catch-up contribution, increasing their total allowable contribution to $31,000. Additionally, under the SECURE 2.0 Act, employees aged 60 to 63 can contribute up to $34,750, allowing for higher retirement savings during these years.

Employer Contributions (Profit Sharing & Match)

Employers can contribute to a 403(b) plan through profit sharing and matching contributions, with a maximum limit of $70,000 or 100% of the employee's compensation, whichever is lower.

Total Contribution Limit

The total combined contributions from both the employer and employee cannot exceed $70,000 in 2025.

Common questions about 403(b) plans?


Have a question or would like a free 403(b) plan consultation? Contact us.


  • Who can participate in a 403(b) plan?

    403(b) plans are available to employees of the following organizations:


    • Non-profit hospitals and health care organizations
    • 501(c)(3) charitable organizations and foundations
    • Scientific and research non-profit organizations
    • Churches and religious organizations
    • Non-profit educational institutions, including private schools, colleges, and public schools

  • What are the tax benefits of a traditional 403(b) plan?

    • Contributions are made pre-tax, reducing your taxable income.
    • Earnings grow tax-deferred.
    • Taxes are paid on distributions taken in retirement as ordinary income.

    To learn more about tax considerations for 403(b) distributions, visit our Tax Planning Section.

  • How does a Roth 403(b) differ from a traditional 403(b)?

    • Contributions to a Roth 403(b) are made after-tax and are not tax-deductible.
    • Earnings may grow tax-free, and qualified withdrawals can be taken tax-free in retirement.
    • Contribution limits for a Roth 403(b) are the same as those for a traditional 403(b).

    For more details on 403(b) withdrawals and distributions, see our Tax Planning Section.

  • Who is eligible to contribute to a 403(b) plan?

    Eligibility requirements, such as age and length of employment, are determined by the plan administrator and employer when the plan is set up.


    Employers can modify these eligibility rules by updating the 403(b) adoption agreement.