Since you are participating in an employer-sponsored retirement plan, you probably can't deduct your contribution into an IRA. But deductibility is only part of the story – a small part! The thing you need to remember is that the earnings from the money you deposit in an IRA grows tax-deferred until you begin withdrawing the money.

There are two basic types of IRAs you can contribute to: a Traditional IRA and a Roth IRA.

So which IRA should you choose? That's a very individual decision. Fortunately Schwab has helpful tools available and knowledgeable telephone representatives to help you through the decision process. If you need assistance, visit our Web site at schwab.com, call a Schwab representative at 1-800-435-4000, or visit a Schwab branch.