Qualified retirement plans provide the same tax advantages as non-qualified plans,but they are preferred because they are generally much safer.

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Qualified retirement plans, unlike non-qualified plans, offer specific tax benefits such as tax-deferred growth on earnings, and contributions may be tax-deductible. Non-qualified plans do not typically offer the same level of tax advantages. The preference for qualified plans is mainly due to their tax benefits and not necessarily because they are safer.

Qualified Retirement Plans Provide the Same Tax Advantages as Non-Qualified