Employer-sponsored 401K plans are financed with the money you earn before taxes. IRAs are like 401ks in a number of ways that contributions aren't taxed. Although they are deductible (you are able to deduct them), they are not employer-sponsored. As with a traditional IRA, a Roth IRA involves post-tax contributions. When you think that your future taxes will be higher, you may want to consider withdrawing from a Roth IRA. Roth IRA withdrawals are tax-free.