Types of Retirement Accounts: Traditional IRA, 401(k), and More

When mapping out your retirement savings, there are several types of accounts to consider. For example, 401(k) plans offer a contribution limit of $24,500, while IRAs have a $7,500 cap. Roth IRAs provide the benefit of tax-free withdrawals, which is a valuable feature for many long-term savers. If you’re self-employed, there are specialized plans that allow you to contribute even more. And don’t forget—many employers will match contributions to your 401(k), which can significantly boost your savings. After more than 30 years at Neasham Insurance Agency, I’ve seen the impact that choosing the right mix of accounts can have on your financial future, especially when paired with long-term tools like annuities and universal life policies.