Question

Which would be the best retirement savings option for a 40-year old engineer whose employer offers a five percent contribution match?

a: 401(k)
b: ira
c: basic savings account
d: money market account

Answer 1

Which would be the best retirement savings option for a 40-year old engineer whose employer offers a five percent contribution match?

Answer

IRA( Insurance Regulatory Agency)

Step-by-step explanation

IRA( Insurance Regulatory Agency) this is a body that prompts people or investors to a direct pretax income towards investments that can grow tax-differed. In this plan there are no capital gains or divided income is taxed until when you withdraw.

This is because its costs are low,it is flexible and it has an ability to allow your money as tax free. It is considered as a Roth.

Answer 2

b. ira.

The ira is something that you pay taxes on upfront and not later. It accumulates money faster over time than the 401k. Companies for the most part will offer a 401K over the ira, however.