A 403(b) plan lets certain nonprofit or tax-exempt organizations such as churches, hospitals, and schools offer employees an effective, cost-effective way to save for retirement. T. Rowe Price has extensive experience helping companies administer retirement plans, works closely with employees to answer questions to help them select investments for their long-term goals.
Ready to get started? Call a 403(b) Plan Specialist at 800-492-7670
Employers: See how to maintain and administer your 403(b) plan
Employees: Learn more about opening a T. Rowe Price 403(b) account
At T. Rowe Price, we are committed to helping you manage your 403(b) plan by offering your employees a way to save for retirement. The T. Rowe Price 403(b)(7) custodial account agreement is designed to work with your employer plan as part of your written document requirement.
How do employees sign up?
How will T. Rowe Price share participant information with each Plan Sponsor?
To help you fulfill your information sharing obligations, T. Rowe Price makes Plan Sponsor Web available at no cost to you. This information-sharing tool will help plan sponsors satisfy requirements for sharing participant information between your organization and T. Rowe Price.
How do I transmit the participants' contribution?
How are participant changes processed?
What costs are involved with a 403(b) account?
A $20 account service fee is charged for each T. Rowe Price mutual fund with a balance below $10,000 in an employee's 403(b) account. The $20 account service fee will be waived for the following circumstances: Subscribe to electronic delivery of statements and confirmations*; maintain an individual combined balance of $50,000 or more for all T. Rowe Price accounts (including mutual funds, Brokerage, and Small Business Retirement Plans); or qualify for the T. Rowe Price Summit Program. If the Account is closed during the year, a $20 closeout fee will be deducted automatically from the proceeds of the total redemption. However, the closeout fee is waived when an account service fee was previously assessed to the participant for that year or when the proceeds are being used for a rollover, transfer or conversion to a T. Rowe Price retirement plan account or T. Rowe Price IRA account.
*Participants can subscribe to paperless delivery via the T. Rowe Price website once their account is established.
How are plan distributions processed?
Participants can call our toll-free number to request distribution paperwork. For ERISA plans, the employer must approve any distributions by signing the appropriate distribution form. Plan Sponsors must ensure that participant employment status is kept up to date on Plan Sponsor Web in order for T. Rowe Price to process distribution requests.
Who is responsible for keeping the 403(b) plan updated for changes in the law?
T. Rowe Price will update the 403(b)(7) Custodial Account Agreement as necessary. You are responsible for making sure the employer plan document is in compliance with any changes in the requirements that govern 403(b) arrangements.
How do Plan Sponsors provide their approved vendor list?
Plan sponsors must provide T. Rowe Price a list of the annuity contract and/or custodial account provider that: (a) are receiving contributions as part of the 403(b) plan or (b) have an Information Sharing Agreement (ISA) with the plan. Plan sponsors must also promptly notify T. Rowe Price if there are any changes to their approved vendor information by completing the Employer-Sponsored Retirement Plan Information and Services Agreement.
When will my plan's participants be allowed to exchange assets between approved vendors?
When we receive your completed Employer-Sponsored Retirement Plan Information and Services Agreement, we will be able to exchange assets to and from your plan's approved vendors.
How do our employees stay informed?
We make it easy for your employees to stay current with their accounts by providing:
Contributing to a 403(b) plan is an effective way to build your retirement savings. Your before-tax contributions reduce your taxable income, which could reduce your taxes, and your contributions and any earnings grow tax-deferred until you begin making withdrawals (usually during retirement).
Start saving with an investment leader. T. Rowe Price can help you save for retirement with an attractive combination of investment management expertise and personal service.
Maximize your 403(b) to make the most of your retirement savings plan.
Step 1:
Please review the T. Rowe Price 403(b)(7) Custodial Account Agreement (PDF) before completing the Participant Account Form (PDF). Download and complete the Participant Account form, and give it to your employer.
Step 2: (optional)
Exchange assets from another 403(b) account
To exchange existing 403(b) assets in your current employer's plan from another investment provider to T. Rowe Price, complete the Participant Transfer-In or 403(b) Exchange-In Form (PDF).
Step 3: (optional)
Roll Over assets from another 403(b) plan
If you have other 403(b) accounts with former employers, and your current employer plan accepts rollovers*, you can roll those assets over into your current employer's plan, utilizing the Invest Participant Rollover Assets form (PDF).
Have questions? We're here to help.
To speak to a T. Rowe Price Rollover Specialist, call 800-492-7670.
All investments are subject to market risk, including the possible loss of principal. Mutual funds are subject to management fees and expenses. Past performance cannot guarantee future results. Diversification cannot assure a profit or protect against loss in a declining market.
A retirement account should be considered a long-term investment. Retirement accounts generally have expenses and account fees, which may impact the value of the account. Early withdrawals are subject to taxes and possible penalties. For more detailed information about taxes, consult a tax or legal professional.
This material has been prepared for general and educational purposes only. This material does not provide recommendations concerning investments, investment strategies, or account types. It is not individualized to the needs of any specific investor and is not intended to suggest that any particular investment action is appropriate for you, nor is it intended to serve as a primary basis for investment decision-making. T. Rowe Price, its affiliates, and its associates do not provide legal or tax advice. Any tax-related discussion contained in this material, including any attachments/links, is not intended or written to be used, and cannot be used, for the purpose of (i) avoiding any tax penalties or (ii) promoting, marketing or recommending to any other party any transaction or matter addressed herein. Please consult your independent legal counsel and/or tax professional regarding any legal or tax issues raised in this material.
*Consider all available options, which include remaining with your current retirement plan, rolling over into a new employer's plan or IRA, or cashing out the account value. When deciding between an employer-sponsored plan and IRA, there may be important differences to consider - such as range of investment options, fees and expenses, availability of services, and distribution rules (including differences in applicable taxes and penalties). Depending on your plan's investment options, in some cases, the investment management fees associated with your plan's investment options may be lower than similar investment options offered outside the plan.
1 Retail Money Market Funds: You could lose money by investing in the Fund. Although the Fund seeks to preserve the value of your investment at $1.00 per share, it cannot guarantee it will do so. The Fund may impose a fee upon sale of your shares. An investment in the Fund is not a bank account and is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. T. Rowe Price Associates, Inc. is not required to reimburse the Fund for losses, and you should not expect that T. Rowe Price Associates, Inc. will provide financial support to the Fund at any time, including during periods of market stress.
2 Government Money Market Funds: You could lose money by investing in the Fund. Although the Fund seeks to preserve the value of your investment at $1.00 per share, it cannot guarantee it will do so. An investment in the Fund is not a bank account and is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. T. Rowe Price Associates, Inc. is not required to reimburse the Fund for losses, and you should not expect that T. Rowe Price Associates, Inc. will provide financial support to the Fund at any time, including during periods of market stress.
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