One sentence in this article of  “When G.M. was Google” that I would like to talk about is “Google was designed never to have unions or pensions; the expectation was that most employees would not plan to stay at the company for decades”.

It is true, if the company provides pension plan, most employees will stay at the company longer.  It can help them to save money.  Most people do not save money for their future.  Honestly, the money from the social security is not enough for us after retirement.  That is why the government wants us to save money.   If you buy a retirement plan, you can deduct it from your tax return and I think that is a good way for us to save money.

There are many of retirement plans that we can choose.  The common plan is IRA, we can buy it from any bank.  There are two different IRAs;  traditional IRA and Roth IRA.  Both of them have their advantage.  Traditional IRA can deduct from your tax return, you may pay less tax.  Roth IRA is different.  It does not deduct from your tax return, however, when you take the money from bank, you do not need to pay any tax.

Whichever one is better for us depends on your situation.  In my opinion,  I prefer to buy a traditional IRA, it is not only deducts from your tax return, but you can also get credit that according to your income. Usually, when a person retires, they do not have much income.  So, when they withdraw the money from the traditional IRA, they still do not have to pay any tax.