A Roth IRA offers employees an incentive to save for their retirement by
A) deferring taxes on income contributed to the IRA.
B) eliminating taxes on the withdrawals from the IRA.
C) eliminating taxes on the income contributed to the IRA.
D) allowing employers to match the employee's contribution to the IRA.

Question

Quizplus · Accepted Answer

A Roth IRA allows employees to contribute after-tax income to their retirement savings, meaning that withdrawals later in life are not subject to taxation. This serves as an incentive for employees to save, as they can potentially save more money in the long run by avoiding taxes on their savings.

A Roth IRA Offers Employees an Incentive to Save for Their