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If youre saving for retirement, IRAs, also known as Individual Retirement Accounts, can offer docHub tax advantages. This video focuses on how to choose between two common types of IRAs: traditional and Roth. Each provides different tax benefits. In a taxable investment account, you have to pay annual taxes on any profits you earn, which can slow the growth of the account. A benefit of both traditional and Roth IRAs is that your earnings arent taxed while theyre in the account, which can help your investments compound. Where traditional and Roth IRAs differ is when you get tax breaks. You essentially have a choice of receiving a tax deduction now or tax-free withdrawals later. Let me explain. With a traditional IRA, your contributions may be tax deductible. This means you may get a tax break in the years you contribute to the account. But, you still have to pay taxes sometime. With a traditional IRA, you pay taxes on money you withdraw from the account during retirement. Essen