457(b) Plan

This deferred compensation plan allows certain highly paid eligible employees to voluntarily set aside a portion of their MIT pay to enhance their retirement savings or reach other long-term financial goals.


You are eligible for the MIT 457(b) Plan if you are eligible to participate in the 401(k) Plan AND meet the salary threshold set by federal law. For 2022, your total 2021 pensionable pay or your December 31, 2021 annual rate of pay must be at least $249,900 to participate in the Plan.

How the plan works

The MIT 457(b) Plan is a savings and retirement investment account that helps eligible employees invest and save for retirement and other long-term financial goals while receiving tax advantages similar to those available through the MIT Supplemental 401(k) Plan. MIT does not match contributions to 457(b) accounts. MIT reserves the right to change or terminate the 457(b) Plan at any time.

When you enroll in the MIT 457(b) Plan, you voluntarily set aside a portion of your MIT pay on a pre-tax basis to contribute to your account. You choose how your contributions are invested from a range of options determined by MIT. You do not pay federal or Massachusetts state income taxes on your contributions or associated investment earnings until you withdraw money from your MIT 457(b) Plan account.

In addition, you may take advantage of the following benefits when you contribute to your MIT 457(b) account:

  • The annual contribution limits set by federal law for your MIT 457(b) account do not affect the contribution limits for your MIT Supplemental 401(k) Plan account. The contribution limit for calendar year 2022 is $20,500.
  • In each of the three calendar years before the year in which you reach age 65, you may make special catch-up contributions that could increase your maximum allowable contribution to as much as twice the normal limits for these years (depending on your unused contribution potential from previous years).

How to enroll or make changs to your election

Eligible employees will receive an email in November prior to the calendar year in which they have been deemed eligible to contribute. This email will contain instructions on how to enroll in the plan. If you did not receive an email and believe you are eligible, or if you are a new hire who believes you should be eligible, please email MIT Benefits at benefits@mit.edu to request an eligibility review and an enrollment form.

If you are currently enrolled and wish to make changes to your election or stop your contributions, please email MIT Benefits at benefits@mit.edu to request a change form.