In the selection of Individual Retirement Accounts (IRAs), Traditional IRA and Roth IRA are two main types, each with unique characteristics. Contributions to a Traditional IRA are pre-tax, meaning employees contribute a certain amount of income to the IRA account before taxes, reducing the tax burden for the current year. However, withdrawals from a Traditional IRA during retirement are considered taxable income. In contrast, contributions to a Roth IRA are post-tax, where employees contribute funds after taxes, and withdrawals during retirement are tax-free. The choice between the two depends on an individual’s current tax situation and future tax strategies, requiring careful evaluation.