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 2020, your total 2019 pensionable pay or your December 31, 2019 annual rate of pay must be at least $232,575 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 your 457(b) account. MIT reserves the right to change or terminate the 457(b) Plan.

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 2020 is $19,500.
  • 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

Complete the MIT Voluntary Compensation Deferral Agreement form, and the TIAA-CREF information form (download below). Submit both forms to MIT Benefits.

How to make changes

Contact TIAA-CREF at (800) 842-2776 to learn about or update allocation options and designate or change your beneficiary.