What a 401k actually is.
A 401k is not an investment.
It's a tax label.
It refers to a section of the IRS code.
That's it.
It just tells the government how your investment will be taxed.
In a Roth 401k, you pay taxes now and it grows tax free.
In a traditional 401k, you defer taxes until later.
Knowing the difference is not trivia.
It can save you thousands of dollars over time.
Stop treating your 401k like a magic box.
Understand what it actually is.
And use the rules to your advantage.
