What is ira acronym?

IRA stands for Individual Retirement Account, a type of investing account that offers tax benefits for saving for retirement. There are different types of IRAs, including traditional IRA, Roth IRA, and SEP IRA. A traditional IRA allows individuals to contribute pre-tax earnings and reduce their taxable income, while the earnings grow tax-deferred until withdrawal. A Roth IRA differs from a traditional IRA in that contributions are made post-tax, but earnings grow tax-free and withdrawals are tax-free as well. SEP IRA (Simplified Employee Pension) is a plan for small business owners to contribute to their and their employees' retirement accounts. IRA accounts are subject to limitations and restrictions, but are a valuable tool for saving for retirement.