IRAs (Individual Retirement Accounts) are certainly popular. According to research from the Investment Company Institute (ICI), about 55.5 million US households owned these accounts. There are a few reasons why so many investors favor IRAs, but chief among them is that an IRA provides valuable tax benefits, which can boost your nest egg. ICC estimates that – for those who have held their IRAs for at least ten years – the average balance is $280,000.
It's important to understand how to use these powerful savings tools. And you will need to decide which type is best for you: traditional, Roth, SEP or SIMPLE?
