What is one primary benefit of retirement accounts like 401(k)s?

One primary benefit of retirement accounts like 401(k)s is the provision of employer matching contributions. When an employer offers a 401(k) plan, they may match a portion of the employee's contributions, which effectively boosts the employee's retirement savings. This matching contribution is essentially "free money" that enhances the overall growth of the retirement fund, making it an attractive incentive for employees to contribute to their retirement plans.

Additionally, the employer matching can encourage consistent saving behavior by motivating employees to contribute more to receive the full match. This feature helps individuals accumulate wealth over time, enabling them to develop a robust financial foundation for retirement. Therefore, the ability to secure additional funds via employer contributions distinguishes 401(k)s as a valuable tool for retirement planning.