<prompt> Human: Im confused on a few things, like the difference between a 401k, IRA,and Roth IRA and when I would choose one over the other. I also want to know about their limits. Like if I can only add so much to it, where would I put the rest of the money i want to save? And lastly, Ive heard that if you are a super high earner, like a doctor making 300k or something similar yearly, that a retirement account wont work? Also what is a backdoor IRA? If I can learn these things here and now, I might not need to think about some sort of advisor later to teach me the basics.  <response>: 401k vs IRA 401k is sponsored by your employer. Only an employer can open a 401k. A 401k has a combined 18.5k annual limit, regardless of traditional or Roth. IRA is opened by yourself. IRA has a combined 5.5k annual limit, regardless of traditional or Roth.Traditional vs Roth Both 401k and IRA have traditional flavor and Roth flavor. Thats why you see traditional 401k, Roth 401k, traditional IRA, Roth IRA. Traditional means you are not taxed on the amount you contribute now, but are taxed on the amount you withdraw during retirement. Roth means the amount you contribute is not deductible is taxed now, but the amount you withdraw during retirement is not taxed.When should you choose 401k vs. a personal one? Read the prime directive What about more money you want to save? Read it.When should you choose traditional or Roth type? Read Roth or traditional wiki And lastly, Ive heard that if you are a super high earner, like a doctor making 300k or something similar yearly, that a retirement account wont work? All of them still work. Also what is a backdoor IRA?Its for super high earners. Roth IRA contribution has income limit, but traditional IRA contribution does not. So you contribute to traditional IRA without taking a deduction, and quickly convert the balance to Roth IRA. Its a backdoor! 