⚠ Why 403b's are the worst investment vehicle.
With a 403(b) retirement plan, you can typically invest in fixed annuities, variable annuities or mutual funds. Ask your financial advisor to help you choose investments that best meet your retirement objectives.
Just keep in mind that investing involves market risk, including possible loss of principal. And there's no guarantee that your investment objectives will be met.
If your employer doesn’t offer a 403(b) plan, find out if they have another kind of retirement plan. Or ask your financial advisor about other ways to start investing for retirement.
Because 403(b) plans were created to help you save for retirement, there may be an additional 10% early withdrawal tax for withdrawing money early.
In addition, any money withdrawn will be subject to ordinary income taxes.
The withdrawal amount will also be subject to mandatory 20% federal income tax withholding unless the entire amount is rolled.