Ignoring Tax-Advantaged Accounts

Investing in a taxable brokerage account before maxing out your 401(k) and IRA is leaving free money on the table. A 401(k) with employer match is literally a 50-100% guaranteed return on your contribution (if they match 50-100% up to a limit). Roth IRA contributions grow tax-free forever. The 2026 limits: $23,500 for 401(k), $7,000 for IRA. If you invest $23,500/year in a 401(k) from age 25 to 65 at 7% returns, you'll have $5.3 million — and you deferred taxes on every contribution. Ignoring these accounts to day-trade in Robinhood is the financial equivalent of leaving $20 bills on the sidewalk.