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What's the difference between a 401k and a 403b?
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A 401(k) is an employer-sponsored retirement savings plan that allows employees to save for retirement. A 403(b) is similar, but it’s offered by educational institutions such as colleges and universities. Both plans are tax-deferred, meaning you don’t pay taxes on your contributions until you withdraw them in retirement. The main difference is that with a 401(k), you can choose which investments you want to make, while a 403(b) has a pre-set portfolio of investments.