Reference — Retirement Plans · Created August 10, 2026 · Updated August 23, 2026 · 12 min read
Retirement Plan Types, by Employer
Which plan you can actually have depends on who employs you — the whole map, with the Code section behind each one.
On This Page
- The Short Answer, by Employer
- Individual and IRA-Based Arrangements
- Qualified Employer Plans
- The 401(k) Family
- Schools, Charities, Churches, and Ministers
- Governmental and Tax-Exempt Deferred Compensation
- Federal, Multiemployer, and Pooled Structures
- Labels That Are Not Separate Plans
- Which Plans Are Actually Used
- If You Are the Employer: A Selection Guide
- References & Resources
Which retirement plan you can have is decided almost entirely by who employs you — not by how good a saver you are. This is the whole map: every arrangement the Internal Revenue Code recognizes, the Code section behind it, and who is actually allowed to use it.
Most retirement writing assumes you have a 401(k). Millions of American workers are not permitted to have one, and the reason is structural rather than personal: a public-school teacher, a city employee, a hospital nurse, a federal analyst, a minister, and a sole proprietor are each barred from some plans and handed others by law. Knowing which column you are in tells you what to ask your employer for, what a job offer is really worth, and how much tax-advantaged room you have this year.
The Short Answer, by Employer
If you read nothing else, read this. It is the practical ranking — what your kind of employer most commonly offers, and what usually sits alongside it.[1]
| If you work for… | The primary plan is usually | Common supplement or alternative |
|---|---|---|
| A private employer | 401(k), commonly with a match and profit sharing | Safe-harbor 401(k); a cash-balance pension where the owners want larger contributions |
| Your own business, no employees | Solo 401(k) | SEP; cash-balance pension |
| A small employer | SIMPLE IRA or SIMPLE 401(k) | SEP |
| A 501(c)(3) nonprofit | 403(b) or 401(k) | 457(b) or 457(f), typically for selected executives only |
| A public school | Governmental defined-benefit pension | 403(b) and/or governmental 457(b) |
| State or local government | Governmental defined-benefit pension | Governmental 457(b) |
| The federal government | Thrift Savings Plan plus the applicable federal pension | No ordinary 457(b) — the federal government cannot sponsor one |
| A church or church-related employer | 403(b), 403(b)(9), or a church pension | Qualified plan, SIMPLE IRA, or SEP where eligible |
| A union multiemployer group | Multiemployer pension | Annuity or defined-contribution plan |
From 2027, having no employer plan stops meaning no help. The federal Saver’s Match replaces the Saver’s Credit for retirement contributions: the government pays up to 50% of what an eligible saver puts in, capped at $1,000 a year, deposited into the account rather than credited against a tax bill. It works with a plain traditional or Roth IRA — no employer and no plan sponsor required — though the provider must have opted to accept Saver’s Match deposits, which is worth confirming before you open one. It is claimed on the 2027 return filed in 2028, not paid during the year.[2] The full 50% runs to $20,500 of modified adjusted gross income for single filers, $30,750 head of household and $41,000 married filing jointly, tapering to nothing at $35,500, $53,250 and $71,000. The saver must be 18 or older, not claimed as a dependent, and not a student — enrolled full time during some part of each of five calendar months. If the table above told you that your employer offers nothing, this is the row that replaces it.
Individual and IRA-Based Arrangements
| Arrangement | Primary IRC section | Who may establish or use it |
|---|---|---|
| Traditional IRA | §408(a) account; §408(b) annuity | Individuals with taxable compensation. A spousal IRA may be funded on a joint return. Deductibility depends on income and on whether you are covered by a workplace plan. |
| Roth IRA | §408A | Individuals with taxable compensation whose modified adjusted gross income is within the applicable limits. |
| Rollover IRA | §408, with rollover rules in §§402(c), 403(b)(8), 408(d)(3), 457(e)(16) | Anyone moving an eligible distribution from another plan or IRA. A use case, not a separate statutory plan. |
| Payroll-deduction IRA | §408 or §408A | Employees of any employer willing to forward deposits without adopting a retirement plan of its own. Each employee owns the IRA. |
| SEP | §408(k) | Any employer — corporation, nonprofit, partnership, sole proprietor, or self-employed person. Employer contributions go into SEP-IRAs for eligible employees and owners. |
| SARSEP | §408(k)(6) | Only an employer that established one before 1997 may continue it. New SARSEPs cannot be created, and later-hired eligible employees generally must be included. |
| SIMPLE IRA | §408(p) | Generally an employer with 100 or fewer employees that maintains no other plan for the year, subject to statutory exceptions. Self-employed people can qualify. |
Qualified Employer Plans
| Plan or design | Primary IRC section | Who may sponsor or participate |
|---|---|---|
| Traditional defined-benefit pension | §401(a); limits at §415(b) | Private, tax-exempt, and state or local governmental employers, and self-employed owners through their business. Promises a formula-based benefit. |
| Cash-balance pension | §401(a); §§411(a)(13), 411(b)(5) | The same employers that can maintain a qualified defined-benefit plan. Legally a defined-benefit plan despite presenting a hypothetical account balance. |
| Fully insured pension | §401(a), §412(e)(3) | A qualified defined-benefit employer funding through qualifying insurance or annuity contracts. A funding design, not a separate category. |
| Profit-sharing plan | §401(a) | Any qualifying employer, including a self-employed business. Contributions are usually discretionary, and actual profits are not required. This is also the structure behind the employer-funded “incentive savings” products now being marketed to small businesses, which tie the employer contribution to attendance, safety or tenure targets rather than to profit. New wrapper, existing plan type. |
| Money-purchase pension | §401(a) | Any qualifying employer. A defined-contribution plan with the contribution rate fixed in the plan document. |
| Stock-bonus plan | §401(a) | A qualifying employer, usually a corporation, providing benefits principally in employer stock. |
| ESOP | §401(a); §409; §4975(e)(7) | Generally a corporate employer, through a plan designed to invest primarily in qualifying employer securities. |
The 401(k) Family
| Plan or feature | Primary IRC section | Applicable sponsor or participant |
|---|---|---|
| Traditional 401(k) | §§401(a), 401(k) | Generally private and tax-exempt employers, including self-employed businesses. State and local governments generally cannot establish new ones, apart from grandfathering and narrow exceptions. |
| Safe-harbor 401(k) | §401(k)(12) or (13), with the corresponding §401(m) | An eligible 401(k) sponsor that makes prescribed vested employer contributions and follows the applicable rules. |
| QACA | §§401(k)(13), 401(m)(12) | A 401(k) using qualifying automatic enrollment, escalation, and employer contributions. |
| EACA | §414(w) | A 401(k) or certain other deferral plans using specified automatic contribution rules. A feature, not an independent plan. |
| SIMPLE 401(k) | §401(k)(11) | Generally an employer with 100 or fewer employees meeting the exclusivity and mandatory employer-contribution rules. |
| Solo or one-participant 401(k) | §§401(a), 401(k) | A business owner with no common-law employees other than a spouse. Not a separate Code category — just a 401(k) with one participant. |
| Keogh or H.R. 10 | Usually §401(a), possibly §401(k) | An older label for a qualified plan maintained by a self-employed person or partnership. Not a separate modern tax category. |
Schools, Charities, Churches, and Ministers
| Plan | Primary IRC section | Who may participate |
|---|---|---|
| 403(b) tax-sheltered annuity | §403(b) | Employees of public-school systems; employees of §501(c)(3) organizations; and qualifying ministers, including certain self-employed ministers for ministerial earnings. |
| 403(b)(9) retirement-income account | §§403(b)(9), 414(e) | Church employees and qualifying ministers, through a church-related retirement-income account. |
| Qualified annuity plan | §403(a), with §401(a) qualification rules | Employees covered by an employer’s qualified plan funded through annuity contracts. Different from a 403(b), and relatively uncommon. |
Governmental and Tax-Exempt Deferred Compensation
| Arrangement | Primary IRC section | Applicable employer or participant |
|---|---|---|
| Governmental 457(b) | §457(b) | A state, political subdivision, or state or local agency or instrumentality, for employees and — where permitted — independent contractors. The federal government cannot sponsor a §457 plan. |
| Tax-exempt 457(b) | §457(b) | An eligible nongovernmental §501 tax-exempt entity. In practice usually limited to a select management or highly compensated group, because the arrangement generally remains unfunded. Regulatory exclusions apply to churches and qualified church-controlled organizations. |
| Ineligible deferred compensation | §457(f) | State and local governmental and eligible tax-exempt employers whose arrangements do not satisfy §457(b). Commonly used for selected executives. |
| Governmental excess-benefit arrangement | §415(m) | A state or local governmental employer providing benefits above the §415 limits. Not itself a §401(a)-qualified plan. |
The distinction in the first two rows is worth real money. A governmental 457(b) is your asset, carries its own deferral limit separate from the 401(k)/403(b)/TSP limit, and escapes the 10% early-withdrawal penalty once you separate from that employer at any age. A tax-exempt 457(b) at a private charity is generally unfunded — the balance legally remains the employer’s asset until it is paid to you, so it carries the employer’s credit risk. Both are explained in context on Federal & State Employment and Nonprofit & Public Service Careers.
Federal, Multiemployer, and Pooled Structures
| Structure or system | Primary authority | Who it covers |
|---|---|---|
| Thrift Savings Plan | IRC §7701(j); 5 U.S.C. chapter 84 | Eligible federal civilian employees and members of the uniformed services. Similar to a 401(k), but not an ordinary private-employer 401(k). |
| FERS and CSRS | 5 U.S.C.; governmental status under §414(d) | Covered federal employees under the applicable statutory system. |
| Multiemployer plan | §414(f) | A collectively bargained plan maintained under agreements involving multiple unrelated employers. |
| Multiple-employer plan (MEP) | §413(c) | One plan covering employees of two or more unrelated employers; not necessarily collectively bargained. |
| Pooled employer plan (PEP) | §413(e); ERISA §3(43) | Unrelated employers participating through a registered pooled plan provider, usually in a defined-contribution plan. |
| Collectively bargained multiple-employer plan | §413(b) | Employees covered under qualifying collective-bargaining arrangements involving multiple employers. |
| Church plan | §414(e) | Employees of a church, a convention or association of churches, and qualifying church-related organizations. May use a §401(a) or §403(b) design, and is exempt from ERISA unless the sponsor elects coverage. |
| Governmental plan | §414(d) | Employees of qualifying federal, state, local, tribal, or related governmental entities. This section defines status, not a contribution formula. |
Labels That Are Not Separate Plans
A great deal of confusion comes from commercial names that describe a tax treatment, a design, or a legal status rather than a distinct plan. The Code does not contain one official closed list bearing all the marketing labels.
| Feature or label | Primary section | What it actually is |
|---|---|---|
| Designated Roth account | §402A | An after-tax feature inside a 401(k), 403(b), or governmental 457(b). Not a Roth IRA, and not subject to the Roth IRA income limits. |
| After-tax employee contributions | Principally §§401(a), 401(m), 402, 415 | A contribution type inside a qualified plan — distinct from designated Roth contributions. |
| Matching contributions | Principally §§401(m), 401(a) | An employer contribution formula, not a separate plan. |
| Target-benefit plan | §401(a) | A money-purchase defined-contribution design. |
| Nonqualified executive deferral | §409A | A compensation tax regime for private and taxable employers. Not a qualified retirement plan. |
| Top-hat plan | ERISA classification; often §409A or §457 | An unfunded executive arrangement for a select management or highly compensated group. |
| Retiree medical account | §401(h) | A medical-benefit account attached to a qualified pension or annuity plan. |
| Deemed IRA | §408(q) | An IRA program maintained inside an eligible employer plan. The IRA remains governed by IRA rules. |
Which Plans Are Actually Used
Popularity has to be defined carefully. The best comparable federal counts for private plans come from Form 5500 filings, compiled annually by the Department of Labor.[3]
| 2023 private-plan category | Plans | Total participants | Active participants | Assets |
|---|---|---|---|---|
| 401(k)-type | 724,720 | 105.214 million | 81.626 million | $7.918 trillion |
| All private defined contribution | 790,610 | 126.182 million | 96.369 million | $9.407 trillion |
| 403(b), reporting plans only | 19,297 | 10.502 million | 7.144 million | $767.1 billion |
| Private defined benefit | 46,233 | 29.347 million | 11.077 million | $2.994 trillion |
| Cash-balance subset | 26,764 | 8.994 million | 3.458 million | $1.055 trillion |
Read those numbers with their limits in mind. Form 5500 counts filed plans and reported participants, not unique people — one person can appear in several plans. The 403(b) row omits arrangements that are exempt from filing, and the bulletin excludes one-participant plans entirely, so solo 401(k)s and many small-employer arrangements are invisible here. Census counts of public pensions cover state and local defined-benefit systems and are not directly comparable to any row above.
The conclusion the data supports is narrow but useful: 401(k) plans overwhelmingly dominate private plan counts and participant reach. Defined-benefit pensions remain structurally important in state and local government. The 403(b) is the characteristic plan for eligible education and nonprofit employers, the governmental 457(b) commonly supplements a public pension, and SIMPLE IRAs and SEPs occupy the small- and owner-only-employer market.
If You Are the Employer: A Selection Guide
| Objective | Common choice | Principal consideration |
|---|---|---|
| Broad employee salary deferrals in a private business | 401(k) | Largest provider market. Can add a match, profit sharing, Roth, auto-enrollment, and safe-harbor design. |
| Low-administration deferral plan at a small employer | SIMPLE IRA | Restricted to qualifying small employers, and the employer contribution is mandatory. |
| Employer-only contribution for a very small workforce | SEP | Simple to run, but generally requires a uniform contribution percentage for every eligible employee — including you. |
| Large owner contribution with employees covered | 401(k) plus profit sharing | Allocation and nondiscrimination testing require professional plan design. |
| Very large deductible contribution for older, high-income owners | 401(k) plus cash-balance pension | A higher funding commitment and actuarial administration every year. |
| An eligible school or §501(c)(3) | 403(b) or 401(k) | The choice depends on employer status, workforce, desired features, and administrative capacity. |
| Supplemental savings for state or local government staff | Governmental 457(b) | Often layered on top of a pension. The distinct deferral limit is the valuable part. |
| Nonprofit executive retention | Tax-exempt 457(b) or 457(f) | Unfunded status, forfeiture conditions, ERISA treatment, and tax timing all require specialized advice. |
References & Resources
- Types of Retirement Plans (Internal Revenue Service) — The base list of arrangements and their qualifying employers. See also Choosing a Retirement Plan: Plan Options and Publication 4484, Plan Feature Comparison Chart.
- Internal Revenue Service. Saver’s Match. Last reviewed August 14, 2026. Maximum 50% match rate, $1,000 annual cap, modified AGI phase-out ranges, and the eligibility conditions (18 or older, not a dependent, not a student under section 152(f)(2)). Enacted by section 103 of the SECURE 2.0 Act of 2022, effective for tax years beginning after December 31, 2026. Read the IRS guidance →
- Private Pension Plan Bulletin: Abstract of 2023 Form 5500 Annual Reports (Employee Benefits Security Administration, U.S. Department of Labor), Table A1 — Plan counts, participant counts and assets by plan category for plan year 2023. Counts are estimates and totals may not sum because of rounding; one-participant plans are excluded and the 403(b) count omits filing-exempt arrangements.
- IRC 457(b) Deferred Compensation Plans (Internal Revenue Service) — Eligible sponsors, the separate deferral limit, and the governmental versus tax-exempt distinction.
- Government Retirement Plans Toolkit (Internal Revenue Service) — Governmental plan status under §414(d) and the arrangements available to public employers.
- Retirement Plans FAQs Regarding SEPs, SARSEPs, and SIMPLE IRA Plans (Internal Revenue Service) — Eligibility rules for the small-employer arrangements.
- Church Plans (Internal Revenue Service) — Definition under §414(e) and the election to be covered by ERISA.
- Annual Survey of Public Pensions (U.S. Census Bureau) — State and local defined-benefit system counts and finances.
- Primary sources were reviewed in August 2026; statistics retain the source plan year shown. Contribution limits and thresholds change annually — confirm the current year’s figures at IRS.gov.