What are the different types of retirement savings plans, such as 401(k), IRA, or pensions?

There are several types of retirement savings plans, each with its own rules and tax implications:

401(k) Plans: These are employersponsored retirement plans that allow employees to contribute a portion of their income on a pretax basis. Employers may also contribute to the plan on behalf of the employee.

Individual Retirement Accounts (IRAs): These are retirement accounts that individuals can open and contribute to on their own. There are two types of IRAs: traditional and Roth. Contributions to a traditional IRA may be taxdeductible, while contributions to a Roth IRA are not taxdeductible but qualified distributions are taxfree.

Pension Plans: These are employersponsored retirement plans that provide a fixed retirement income to employees based on their years of service and salary history.

Simplified Employee Pension (SEP) Plans: These are retirement plans for selfemployed individuals and small business owners.

Simple IRA Plans: These are retirement plans for small businesses with 100 or fewer employees.

Keogh Plans: These are retirement plans for selfemployed individuals and small business owners who have no employees.

Annuities: These are financial products that provide a guaranteed income stream in retirement in exchange for a lumpsum payment.

It's important to understand the rules and benefits of each type of retirement savings plan to determine which one is right for your needs and goals.