"Regular" IRA's first started back in '84 or '85. The "Roth" IRA's did not start until about '99.
Back when IRA's first started, I did some figuring to see if these new things were any good. After figuring my taxes without putting any money in the IRA and then with putting the max [$ 2000 back then].
For the tax bracket I was in [about average income].....Starting a $ 2000 IRA lowered my taxes by over $ 900. It was like the government gave me [Wow did I just say that ???] a 47 % return on my money just for putting it in an IRA.
The true saving is not the $ 900+ that I saved that year because taxes will have to be paid on that money some day.
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