 and yield you less money, okay? That's a traditional IRA. Contrast that with a Roth IRA. You are paying the tax on the seed with after-tax dollars, so there is no tax deduction when you pay into the plan, but when you go to take your money out in retirement, it is tax-free as long as certain conditions have been met. For example, the account's been open for at least five years, and you are at least 59 1⁄2 years of old.