Tax-advantaged accounts can help
You can take advantage of the tax-sheltered retirement accounts like 401(k)s and IRAs.
- If you qualify for a Roth IRA, use it. The Roth IRA will come back to you tax-free when you're older.
- If you contribute to a 401(k) account, at least 5 percent will be matched from your employer. This means you'll only need to save 15 percent of your paycheck. The money you put into a 401(k) will be deducted from your paycheck before taxes.
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