If you start saving for retirement only in your later years and your income growth from that point is rapid, then ________.

A) a traditional retirement plan is probably a better choice than a Roth retirement plan
B) a Roth retirement plan is probably a better choice than a traditional retirement plan
C) a SEP is probably a better choice than Medicare
D) a 401k is probably a better choice than a 403b

Traditional Retirement Plan

A tax-deferred retirement savings account where contributions may lower current taxable income and earnings grow tax-free until withdrawn.

Roth Retirement Plan

A type of retirement savings plan where contributions are made with after-tax dollars, and qualified withdrawals in the future are tax-free.

Income Growth

The increase in the amount of money earned from investments or employment over time, reflecting economic expansion or personal financial improvement.