PPP Round 2 Now Available
The Paycheck Protection Program provides small business loans with up to 100% forgiveness to help businesses impacted by COVID-19.
Funds are limited and will be disbursed on a first come, first served basis.
Investments & Financial Planning
Should I contribute to a traditional IRA or to my 401K plan at work ?
Answer:
An IRA is an Individual Retirement Account. It is a type of investment account to provide retirement security for the individual. It was created in 1974 by the Employee Retirement Income Security Act (ERISA). Contributions to your IRA may be deductible, and generally, investments in your IRA, including earnings and gains are not taxed until distributed to you. A contribution to either saves taxes, but contribution to the 401K probably has more benefits such as (1) company matching of contributions and (2) the ability to borrow from it in certain cases.
