I've been in a similar situation with my 403b, and it can definitely be a bit confusing. One unique benefit of the 403b, especially if you work for a nonprofit, public school, or certain government entities, is that you might have access to some good investment options and lower administrative fees compared to some 401ks. Catch-up contributions are also a great feature—you can contribute more once you're over 50, and those with 15 years of service may have an additional catch-up allowance.
When it comes to investing exclusively in a 403b or exploring other options like IRAs, there are a few considerations. A 403b typically allows higher contribution limits compared to a traditional or Roth IRA, which can be a significant advantage if you're looking to save more aggressively. However, IRAs often offer a wider range of investment options, which might be appealing if you want more control over your portfolio. Additionally, Roth IRAs provide the benefit of tax-free withdrawals in retirement, which is something to think about depending on your current versus expected future tax situation.
Maximizing employer matches is key. If your employer offers a match, try to at least contribute enough to get the full match, as it's essentially free money. For long-term growth, diversifying your investments and considering both equity and fixed-income funds within your 403b can help manage risk while providing growth potential.
Thinking along these lines, what's been your strategy or goals with your 403b so far, and is there a particular area you are curious about expanding or optimizing?
