Free 457 savings calculator
Project your 457(b) government deferred-comp savings — with no 10% early-withdrawal penalty after you separate and the special final-3-years catch-up, updated live, as you type.
On this page13 sections
Estimates only, based on a constant real return and steady saving. Not financial advice.
Results are estimates. Consult a professional.
What is a 457(b) plan, and who is it for?
A 457(b) plan is a deferred-compensation retirement plan for employees of state and local governments and some tax-exempt nonprofits. This 457 savings calculator projects what your deferred-comp balance grows to by retirement from a monthly contribution and an expected return — the result updates live as you type. If you are a teacher, police officer, firefighter, city worker, or other public employee, the 457(b) is the plan that gives you a second, separate place to save beyond any pension.
On the surface a 457(b) looks like a 401(k): you defer up to $23,500 of salary in 2025, it grows tax-deferred, and there is an age-50 catch-up. But two features make it genuinely different — there is no 10% early-withdrawal penalty once you leave the employer, and there is a special final-three-years catch-up that can double your contribution limit as retirement nears. Both are covered below.
How a 457(b) projection is calculated
The projection is straight compound growth, applied monthly. Each month your balance earns one-twelfth of your annual return, then your contribution is added. Most 457(b) plans offer no employer match, so for the typical participant the projection is driven entirely by your own deferrals plus growth.
The 2025 elective-deferral cap is $23,500 — the same dollar limit the IRS sets for 401(k) and 403(b) plans. The valuable wrinkle is that a 457(b) limit is separate from those plans: if you also have a 403(b), you can contribute up to $23,500 to each in the same year.
IRS — 401(k) limit increases to $23,500 for 2025 (IR-2024-285): the $23,500 limit applies to governmental 457(b) plans; the age-50 catch-up is $7,500.How to use the 457 savings calculator
- Current age and retirement age. The number of years between them sets the months of compounding.
- Current savings. Whatever is already in your 457(b) today.
- Monthly contribution. Your salary deferral. The 2025 annual cap is $23,500 (about $1,958/month) before any catch-up.
- Expected return. A long-run average for your investment mix — 6–7% is a reasonable planning figure for a stock-heavy portfolio.
- Employer match / cap / salary. Leave these at 0 unless your government employer genuinely contributes to the 457(b); most do not.
A worked 457(b) example
Marcus is 35, plans to retire at 65, and has $50,000 in his governmental 457(b). He defers $500/month and expects a 7% annual return. His plan offers no match, so the match inputs stay at 0. These are the calculator's defaults.
Step 1 — Compound monthly to age 65
Over 30 years (360 months), each month the balance grows by 7% ÷ 12, then $500 is added. With no employer match, every dollar of growth comes from Marcus's own deferrals and their compounding.
Step 2 — Read the result
Step 3 — The 457(b) advantage
Suppose Marcus leaves city employment at 52 and needs to draw on the account. From a 401(k) or 403(b), a withdrawal before 59½ would cost a 10% penalty on top of income tax. From a governmental 457(b), the same withdrawal after separation carries no penalty at all — only ordinary income tax. That flexibility, not the balance, is the plan's signature feature.
The 457(b) has no 10% early-withdrawal penalty
This is the rule that sets a governmental 457(b) apart. Distributions from an eligible state or local government 457(b) plan are not subject to the 10% additional tax on early distributions, regardless of your age, once you have separated from service. You still owe ordinary income tax on what you withdraw — but not the penalty that 401(k) and 403(b) withdrawals incur before 59½.
2025 457(b) limits and the final-3-years catch-up
The regular limits match the 401(k) and 403(b). What is unique is the final-three-years catch-up, which can roughly double your limit in the run-up to your plan's normal retirement age.
| Limit (2025) | Amount | Notes |
|---|---|---|
| Elective deferral | $23,500 | Separate from any 403(b) or 401(k) limit |
| Age-50 catch-up | +$7,500 | Governmental 457(b) only |
| SECURE 2.0 super catch-up | +$11,250 | Ages 60–63 (governmental plans) |
| Final-3-years catch-up | up to $47,000 total | Up to 2× the limit; uses prior unused contribution room |
2025 IRS limits. The final-3-years catch-up is unique to 457(b) plans. Source: IRS IR-2024-285 and the IRS 457(b) contribution-limits page.
In the three years before your plan's stated normal retirement age, the special catch-up lets you contribute up to twice the normal limit — as much as $47,000 in 2025 — but only to the extent you under-contributed in earlier years. Important: in any year you use this final-3-years catch-up you cannot also use the age-50 catch-up — you take whichever is larger, not both.
IRS — Retirement topics: 457(b) contribution limits (special catch-up in the 3 years before normal retirement age; cannot be combined with the age-50 catch-up).457(b) vs. 403(b) vs. 401(k)
| Feature | 457(b) governmental | 403(b) | 401(k) |
|---|---|---|---|
| Typical employer | State/local government | Schools, nonprofits | Private companies |
| 2025 deferral limit | $23,500 | $23,500 | $23,500 |
| 10% penalty before 59½ | No (after separation) | Yes | Yes |
| Special catch-up | Final-3-years (up to 2×) | 15-years-of-service (+$3,000) | None |
The penalty-free-after-separation feature is what most distinguishes a governmental 457(b).
Many public employees can fund a 457(b) and a 403(b) at the same time, each with its own $23,500 limit — a powerful combination. Compare the private-sector equivalent with the 401(k) calculator, and see the wider menu of retirement tools on the retirement calculators shelf.
457(b) mistakes to avoid
- Confusing governmental and nonprofit 457(b)s. The no-penalty and rollover advantages belong to governmental plans. Nonprofit (top-hat) 457(b) assets remain the employer's until paid out and carry creditor risk — a critical difference.
- Stacking both catch-ups. You cannot use the age-50 catch-up and the final-3-years catch-up in the same year. Pick the larger one.
- Forgetting the second limit. If you also have a 403(b), the two limits are separate — under-using the 457(b) leaves $23,500 of tax-deferred room on the table each year.
- Treating the projection as fee-free reality. This tool shows gross growth at a constant return; plan fees and taxes on withdrawals will reduce what you keep.
Accuracy, assumptions, and sources
This 457 savings calculator compounds your balance monthly at a constant expected return and adds your contribution each month, reporting both the nominal nest egg and an inflation-adjusted figure (3% default). It assumes a steady contribution, a fixed return, and no fees or taxes on growth, so treat the result as a planning estimate, not financial advice. Distribution and catch-up rules depend on whether your plan is governmental or nonprofit and on your plan's stated normal retirement age — confirm the specifics with the IRS, your plan administrator, or a qualified adviser.
IRS — 401(k) limit increases to $23,500 for 2025 (IR-2024-285).IRS — IRC 457(b) deferred compensation plans (governmental plan distributions not subject to the 10% additional tax).Frequently asked questions about the free 457 savings calculator
About this 457 savings calculator
This 457 savings calculator projects what a state or local government employee's deferred-compensation plan grows to by retirement, compounding your monthly contribution at your expected return. It uses the 2025 IRS elective-deferral limit and explains the two features that set a governmental 457(b) apart: no 10% early-withdrawal penalty after separation, and a final-three-years catch-up that can double your limit.
It is one of our retirement calculators; browse the full library on the all calculators page. Figures are planning estimates, not financial advice.