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Your retirement plan plays a key role in giving you the income you need for your golden years but a lot of us don't pay too much attention to this part of our lives. They are actually quite a few vehicles you can use to save for retirement and you should really take some time to learn about each one and find out which combinations will be best for your personal circumstances.
Perhaps the most familiar is a 401(k) plan. This is called a qualified retirement plan because it meets the regulations of the Internal Revenue Code. In this plan deductions are made by your employer each pay period and this money is used to invest for retirement. The money deducted from your paycheck is deducted before taxes are taken out and the money accrues tax-free in your account. You are not taxed on it until you start taking it out later on when you are retired and usually in a smaller tax bracket. You get to direct how the money is invested and how much you have taken out but there is no guarantee as to what you will get in the end - you could lose money or make a bundle and it‘s up to you to keep a close eye on your investments.
A nonqualified retirement plan is one that does not meet Internal Revenue Code requirements and that usually reserved for key personnel. They allow a lot of flexibility to the employer but don't receive a favorable tax status that the qualified plans do. These plans may be taxed to you and not eligible for turning over into an IRA.
A defined benefit retirement plan is what we typically think of as a pension plan. In these types of plans you pretty much know what you're going to get when you retire as it is determined by a percentage of your wages. This is usually calculated by years of employment and these plans are funded, and the investments made, solely by your employer.
An IRA is another type of retirement account that anyone can open. It has no minimum contribution in the earnings in the account are untaxed until you withdraw it. A Roth IRA may even be tax-free when you withdraw it but it must meet certain requirements. Roth IRA contributions are not tax-deductible but traditional IRA contributions may be depending on your filing status, AGI and eligibility of another retirement plan for your employer. There are a lot of different types of IRAs so if you want to invest in one of these you should probably seek the help of a financial consultant.
No matter what you choose for a retirement plan, you need to think about contributing as much as you can. This money will really add up by the time you retire and you be glad you sacrificed a little bit now to live more comfortably later on. | 
