Individual retirement accounts started gaining popularity in the 1970s.  There are two popular kinds of IRAs, one of which is a traditional retirement account.  With this kind of account, contributions you make to it are usually tax deductible depending on your income, tax-filing status and a few other factors.  As you make deposits, your money will continue to grow while you benefit from certain tax advantages like an income tax break.  However, be aware that you pay taxes on any withdrawal of funds.  One could then argue that utilizing the current tax benefits of a traditional IRA is not a way to eliminate taxes, simply postpone them.

» Read more: Traditional IRA – Save for Retirement