Examlex
Identify the categories of business planning and explain how they differ.
Annual Return
The percentage change in value of an investment over a one-year period, accounting for any dividends or interest earned.
Yearly Contribution
The amount of money contributed to an investment or savings account on an annual basis.
Traditional Retirement Plan
A tax-deferred retirement savings account where contributions may lower current taxable income and earnings grow tax-free until withdrawn.
Roth Retirement Plan
A type of retirement savings plan where contributions are made with after-tax dollars, and qualified withdrawals in the future are tax-free.
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