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Qualified Pension Plan:
IRS-qualified pension plans offer tax benefits to contributors, whether it is the employer or employee making contributions, or both. In many cases, however, tax deductibility is not an issue, as most contributions are made pretax, eliminating the need for tax deductions on your annual return.
Non-Qualified Pension Plan:
Your contributions to non-qualified pension plans, such as standard annuities, are not tax deductible, as you contribute after-tax dollars to these plans.
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