What is a Roth 457 plan?
The Roth Provision was added to the 457 Deferred Compensation program in May 2011. This feature enables you to contribute after-tax money from your paycheck to your 457 retirement plan account. The Roth option offers alternative tax benefits. Unlike traditional before-tax contributions, the Roth feature lets you save and invest with after-tax dollars. Because Roth contributions have already been taxed, Roth contributions and earnings can grow tax free.