Qualified Plan

A Qualified Plan is a type of retirement savings plan that meets specific requirements set by the IRS, allowing contributions to be tax-deferred. This means money can grow without being taxed until it is withdrawn, typically during retirement. Common examples include 401(k) plans and traditional IRAs. To encourage saving for retirement, these plans often have tax benefits, such as tax deductions on contributions. Additionally, there are rules about how and when you can take money out, usually to ensure it supports your retirement needs.