Originally Posted by
maegenrn
Is the 403b max contribution the same as the 401k?
Yes.
Originally Posted by
maegenrn
And can you only get a 401k or 403b through an employer?
Yes. A 401(k) is technically a deferred pay plan, where the employer withholds an amount of the employee's pay until a later date, and in the interim invests the pay at the employee's discretion.
Originally Posted by
maegenrn
I'm 28 and have no significant savings toward retirement (other than the rollovers I mentioned earlier) and I have no idea how to start. I am a travel RN, probably will be for the next few years, and more than likely will be working for a different company every 3-4 months. So I can't really depend on a company plan just yet. Do you have any recommendations that would be a good place for me to begin?
Please verify something - you will be a W2 employee of these companies, and not a contractor, correct? Assuming that's the case...
If you're going to be changing employers frequently you are really going to have to pay attention to details and not let things lapse. First - if your employer offers a 401(k) or 403(b) you should take advantage of it, but carefully read the plan rules. Many plans require new employees to be on roll a certain amount of time before the employee match vests (i.e, becomes yours). So if you think you're only going to be with a particular employer for, say, 4 months and their rules require a year for the employer match amount to vest you should be aware. Nevertheless, even if the match doesn't vest I still recommend that you enroll and take advantage of the automatic contributions from your pay and the tax deferral advantages. And when you leave each job you will probably be rolling the 401(k) or 403(b) to your rollover IRA (the same one you already established).
Second - I would also recommend that you establish either a Roth or traditional IRA and start contributing the max allowed each year if you can afford it. And even if you can't, at least get in the habit of contributing some amount each quarter - putting $100 in each quarter is better than $0.
Finally - get in the habit of keeping meticulous records of all accounts and contributions. It sound like you'll be moving a lot, and it is very common for ex-employees to forget about their 401(k) or 403(b). Maintaining a bunch of different accounts can be cumbersome - which is one reason why I think it's a good idea to consolidate into the one rollover IRA as you cycle through these jobs.
It's good that you're thinking about these things now. I started my first IRA back in the early 80's and even though the amount I put in was relatively small (less than $2K/year) those first amounts have grown substantially over the years. The magic of compounding over time is really in your favor when you're in your 20's; not so much when you're 50.