How Else Can I "Do" Retirement Savings?
Want to do more to get to retirement? Or maybe you’ve got goals other than retirement on your mind? You can always open a brokerage or mutual fund account.
A brokerage account isn’t an investment itself. It’s a place to deposit money that will be used to purchase investments, like stocks, bonds or mutual funds. Mutual fund accounts can also be opened directly with a mutual fund company.
Unlike with the TSP or an IRA, you don’t get significant income tax advantages when you invest with a brokerage or mutual fund account. But you can typically withdraw whatever you choose, whenever you choose — without incurring penalties (though you may have to pay taxes).
Bottom line: there’s no one right approach. Use a combination of accounts to work towards your vision of the future. Maybe use retirement vehicles to help enforce long-term investing, and more general investment accounts to mix it up.