Which of the following are ways to save money and still limit your taxes?

Question

Quizplus · Accepted Answer

Individual retirement accounts (IRAs), Keogh plans, and buying tax-exempt bonds are all ways to save money while also limiting the amount of taxes paid. IRAs and Keogh plans allow individuals to contribute pre-tax income into an account that grows tax-free until withdrawals are made in retirement, reducing taxable income and the amount owed in taxes. Tax-exempt bonds are not subject to federal income tax and may also be exempt from state and local taxes, providing tax savings for investors. Choosing all three options can provide a well-rounded approach to saving money and minimizing taxes.

Which of the Following Are Ways to Save Money and Still