<human>:  What is the difference between a 401k and an IRA?
<bot>: The primary difference between a 401k and an IRA is that a 401k is an employer-sponsored retirement plan, while an IRA is an individual retirement account funded with after-tax dollars. A 401k offers an employer match option and potentially higher contribution limits than an IRA, while an IRA typically offers more investment options and more flexibility with when and how you withdraw your money.