457 or 403b- how to prioritize?
My husband and I have access to both a 457 and a 403b for our work, along with a pension. I'm trying to decide how to prioritize and balance savings in these buckets.
For those who don't know, a 403b is essentially a 401k for non profits. A 457 is a fund you can withdraw from after leaving an employer.
Details: we are in our 40s with multiple kids and at step 8 of the FOO. 14 percent into pension fund matched by employer, (but no social security contributions). We then always max out two Roth IRAs. We can get to 25 percent savings rate before maxing out one 403 or 457. We would get to max out one (403b or 457) if we aim for 32 percent savings rate (accounting for no social security). Both the 403b and the 457 have good investment options. We would struggle to do more than 32 percent savings rate, though I'm always trying to put in as much as possible.
Status - we are just about where we should be for regular retirement at age 65 (looking at various suggested multiplies of income by age). We had a late start saving for retirement and have just caught up.
On the one hand, the flexibility offered by the 457 sounds great. If we can't work anymore for whatever reason, it may be nice to have a choice. Maybe we would appreciate the option to retire early if things work out. But should we force ourselves to have some of it in a fund that has to grow until we are older?
Specific question- max out just the 457? Split it between the two funds? Do more towards one fund vs the other?
Edited to add- both plans are offered by a state government.