Retirement Contribution

See: Retirement.

You don't wanna be living in your station wagon down by the river after you retire. So you have a 401(k) or a pension/IRA. You contribute to it monthly, tax deferred (meaning that you'll still be taxed on your retirement contributions at ordinary income tax rates, but you won't pay them until you've retired and/or are old and geezerly).

Lots of companies offer matching contributions as well. Like...if you contribute a grand a month to retirement, the company might match it with another grand so that you're saving $24k a year, tax-deferred. Not a bad way to go. Before you, um...go.