Once upon a time, there was a fox and a peacock that were the unlikeliest of friends. They grew up together, went to school together, and even went to college. There's one thing that they didn't do together, though. Invest their money in the same way.

One day, the peacock and the fox were walking to the store and they began to talk about investing. "I absolutely adore the stock market," said the peacock, "I've made so much money, I'm sure to have secured my retirement!" "I don't know about that," said the fox, "I feel more secure with my 401(k) plan."

"What makes you so sure that your 401(k) is so much better than my stock shares?" The peacock asked the fox. "Well," began the fox, "my 401(k) plan is more secure than your stock shares. See, I invest $2,000 a month, and that money isn't taxed. So, my income taxes are lower."

"You don't have to pay taxes on that money at all?" Asked the peacock. "I find that hard to believe," the peacock stated in disbelief. "I do have to pay taxes, but not until I withdraw the money. By then, I'll have retired and I'll be in a lower tax bracket, so I won't have to pay as much in taxes as I would right now while I'm still employed."

"Anything else I should know about this magical plan?" The peacock asked. "Well, some employers will match a certain percentage of your investment. My employer matches 8% of my investment. That means I have an extra $160 going into my account each time I invest," the fox explained. "Well, that is pretty neat. But I'm not completely sold."