A spending bill signed into law by the President contains major changes to retirement plans. The bipartisan legislation is designed to provide more incentives to save for retirement, but it may require workers to rethink some of their planning. 

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Paying for day care is one of the biggest expenses faced by working adults with young children, a dependent parent, or a child with a disability, but there is a tax credit available to help working caregivers defray the costs of day care.

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There are two main types of employee retirement savings plans: the traditional 401(k) and the Roth 401(k). Distributions from a Roth 401(k) are usually tax-free, but there is a little-known situation where distributions can be taxed.

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