An alternative retirement plan to a 401(k) plan offered by non-profit organizations such as universities and charitable organizations, rather than corporations. There are advantages to 403(b) plans: contributions lower taxable income, larger contributions can be made to the account, earnings can grow tax-deferred, and some plans allow loans. Contributions grow tax-deferred until withdrawal. Withdrawals are taxed as ordinary income (which is sometimes a disadvantage).
Details on 403(b):
All information for these forms are issued from the IRS which you can view on their website. Tax shelters are a very important way to try and increase income and everyone should take a look at ways of investing (legally) in the most efficient tax ways possible.