What is an IRA and how can it benefit my retirement savings in 2025?

An IRA is a tax-advantaged investment account that offers control over investments and can help grow wealth, especially during market upswings.

Are IRA account balances higher in 2025?

Yes, average IRA balances, along with 401(k) and 403(b) balances, reached record highs in the third quarter of 2025.

What is the difference between a Roth IRA and a traditional IRA for 2025 savers?

Roth IRAs use after-tax dollars, offering tax-free withdrawals, while traditional IRAs are taxed upon withdrawal. Roths offer more flexibility for early access to contributions.

Home / Business and Economy / IRA Boost: Ride Market Surge to Record Savings

IRA Boost: Ride Market Surge to Record Savings

22 Nov

•

Summary

Retirement account balances hit record highs in the third quarter of 2025.
Opening an IRA offers tax advantages and investment control.
Roth IRAs are ideal for younger savers in lower tax brackets.

IRA Boost: Ride Market Surge to Record Savings

Retirement savings accounts, such as 401(k)s and IRAs, have seen their balances climb to record highs as of the third quarter of 2025. This market upswing presents a prime opportunity for individuals to enhance their long-term wealth accumulation by opening an Individual Retirement Account (IRA).

An IRA provides a tax-advantaged avenue for investment, offering greater control over asset allocation and potentially lower fees compared to employer-sponsored plans. For those already contributing to a 401(k), an IRA serves as a valuable tool to further diversify and grow retirement funds, especially during periods of market strength.

Younger savers may find Roth IRAs particularly beneficial due to their after-tax contribution structure, allowing tax-free withdrawals in retirement. Furthermore, Roth IRAs offer more flexibility for early access to contributions for specific life events, such as purchasing a home or covering educational expenses.

Disclaimer: This story has been auto-aggregated and auto-summarised by a computer program. This story has not been edited or created by the Feedzop team.