It appears that by saving in a tax-deferred vehicle you would accumulate $128,848 ($128,848 after taxes on the earnings) vs. $128,848 in a taxable savings account. <div id="chart1Container">Chart will load here</div> <script type="text/javascript"> <!-- var myChart1 = new FusionCharts( "MSColumn2D", "myChart1Id", "100%", "100%", "0", "1" ); myChart1.setXMLData("<chart showValues='0' showFCMenuItem='0' decimals='0' formatNumberScale='0' caption='Taxable vs. Tax-Deferred Savings' xAxisName='Year' numberPrefix='$' bgColor='FFFFFF' showBorder='1' borderColor='FFFFFF' borderThickness='1' canvasBgColor='E6E3CF' palette='2' numberSuffix='' thousandSeparator=',' decimalSeparator='.'><categories><category label='1' /><category label='2' /><category label='3' /><category label='4' /><category label='5' /></categories><dataset seriesName='Taxable'><set value='105200.0' /><set value='110670.0' /><set value='116425.0' /><set value='122479.0' /><set value='128848.0' /></dataset><dataset seriesName='Tax-Deferred'><set value='105200.0' /><set value='110670.0' /><set value='116425.0' /><set value='122479.0' /><set value='128848.0' /></dataset></chart>"); // --> </script> <table class='pure-table pure-table-bordered' role='grid'><tr><th scope="col"></th><th colspan="4">Taxable</th><th colspan="3">Tax-Deferred</th></tr><tr><th scope="col">Year</th><th scope="col">Beginning Balance</th><th scope="col">Return @ 5.20%</th><th scope="col">Taxes @ 0.00%</th><th scope="col">Ending Balance</th><th scope="col">Beginning Balance</th><th scope="col">Return @ 5.20%</th><th scope="col">Ending Balance</th></tr><tr><td role="rowheader" scope="row">1</td><td>$100,000</td><td>$5,200</td><td>$0</td><td>$105,200</td><td>$100,000</td><td>$5,200</td><td>$105,200</td></td></tr><tr><td role="rowheader" scope="row">2</td><td>105,200</td><td>5,470</td><td>0</td><td>110,670</td><td>105,200</td><td>5,470</td><td>110,670</td></td></tr><tr><td role="rowheader" scope="row">3</td><td>110,670</td><td>5,755</td><td>0</td><td>116,425</td><td>110,670</td><td>5,755</td><td>116,425</td></td></tr><tr><td role="rowheader" scope="row">4</td><td>116,425</td><td>6,054</td><td>0</td><td>122,479</td><td>116,425</td><td>6,054</td><td>122,479</td></td></tr><tr><td role="rowheader" scope="row">5</td><td>122,479</td><td>6,369</td><td>0</td><td>128,848</td><td>122,479</td><td>6,369</td><td>128,848</td></td></tr></table>