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7- If a retiree has pay tax eventually how can 401k participant from tax deferral? a.The pretax returns on mutual funds are higher in 401k
7- If a retiree has pay tax eventually how can 401k participant from tax deferral?
a.The pretax returns on mutual funds are higher in 401k plan.
b.Taxes are accelerated
c.The participant can defer the paying the taxes and earn a return on the taxes not yet paid.
d.The withdrawals are tax free like a Roth IRA
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