<prompt> Human: Understandably, the idea behind tax deductibility for a 401k or 403B for example is that you defer paying taxes on it now and you will presumably pay a lower rate on it later when it is distributed. However, is there any advantage to increased tax deferred savings currently if they will be taxed at the same rate upon withdrawal later? Also assume that increasing current savings to a 403B would require a 1:1 drawdown of other savings to cover expenses. Edit: to be clear, I think some folks are getting caught up on a Roth. I have not mentioned a Roth and a Roth is not in play here. The savings drawdown would be drawn out of a standard taxable brokerage account.  <response>: Id also like to add: if you use your dollars now for a traditional account, youre saving taxes in your highest tax bracket. Say the 20 tax bracket. It is taken from the top. When you take money out, in, oh, 2040, the first thousands that you take out will not be taxed at all exemption, then the next thousands will be taxed in the first bracket, the next in the second bracket, etc. It fills up from the bottom. Of course, if you have different taxable income sources at that point, all income counts. So that means that even if your top bracket is the same then and now, youd still be saving on taxes. 