<human>: What are the benefits of using a 401k?
<bot>: The main benefit of using a 401k is that it provides an opportunity for employees to save money on a tax-deferred basis. This means that contributions to the 401k plan are not subject to current income taxes and can accumulate without being taxed until withdrawals are taken at retirement or other specified times. Additionally, employers may match employee contributions up to a certain percentage, providing additional incentive to contribute. Furthermore, 401k plans offer more investment options than traditional savings accounts and often provide access to professional financial advice. Lastly, 401ks typically have higher contribution limits than other retirement vehicles such as IRAs.