Read this tip to make your life smarter, better, faster and wiser. LifeTips is the place to go when you need to know about Retirement Income and other Retirement topics.

military retirement, military retirement pay, military retirement calculatory

401 Retirement Plans, IRAs, and other tax deferred savings

A 401 retirement plan is a retirement savings plan that is funded by employee contributions and often matching contributions from the employer. The major attraction of these individual retirement accounts is that the contributions are taken from pre-tax salary, and the funds grow tax-free until withdrawn as retirement income. Also, to some extent the plans are self-directed, and they are portable, you can "roll over" a 401 into another retirement plan if you leave your current employer.

Comments

Nobody has commented on this tip yet. Be the first.

Ask a Question

Not finding the advice and tips you need on this Retirement Tip Site? Request a Tip Now!

Guru Spotlight

PJ Campbell

Ever wonder how you could make your life better and more fun? So have tens of millions of fans who have turned to LifeTips for answers over the past decade. We keep the tips, advice, books, podcasts and writing services flowing, so you can keep your life and business growing in the right direction. Upward!