Chartered Retirement Planning Counselor (CRPC) Practice Exam 2026 – Comprehensive All-in-One Guide for Exam Success!

The statement that a notable feature of the 457 plan is that it is available to both government and non-profit employees is correct because it highlights the versatility of this retirement savings option. Unlike other retirement plans, such as 401(k)s which are primarily designed for private sector employees, the 457 plan caters specifically to a broader group. This includes state and local government employees as well as employees of certain tax-exempt organizations, thus making it a valuable tool for a diverse range of workers in the public service sector.

The ability to cater to both categories of employees—government and non-profit—provides these workers with essential retirement savings options that may not be offered through traditional employer-sponsored plans. This emphasis on inclusivity is key to the 457 plan's design and utility in promoting retirement readiness among a wide swath of the workforce.

In contrast, the other options focus on limitations of the 457 plan's availability. There are specific regulations surrounding who can participate in these plans, making it crucial to recognize the significant scope of eligibility that the correct answer highlights. This feature enhances the attractiveness of 457 plans as a retirement savings vehicle for a variety of workers supporting important sectors of society.