How to buy a retirement plan something by myself?

Because I have tax due, so I want to buy a retirement plan by myself before 04/15/2012.
How to start off the journey?
zhshqzycAsked:
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JohnBusiness Consultant (Owner)Commented:
It depends on where you are. That is because different countries have different legislation and what works for me may not apply to you.

In the United States, one can set up a 401(K) plan and make contributions that are tax deductible on imput and taxable upon withdrawal at retirement. There will be a limit on the annual contribution you can make. See:
http://en.wikipedia.org/wiki/401(k)

In Canada, one can set up a Registered Retirement Savings Plan and make contributions that are tax deductible on input and taxable upong withdrawal at retirement. There is a limit of 18% of prior year income on this year's contribution.

In both plans, interest and gains is tax-free (again, taxed on withdrawal).

So two things to do to start your journey:

1. Talk to an investment advisor and set up your plan. Make sure you know how the investment advisor will invest and make sure you know how much you can contribute. There is a penalty where I am for overcontribution.
2. Understand that this is a long journey and requires meaningful and annual contributions.

Good luck. .... Thinkpads_User
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zhshqzycAuthor Commented:
I am in US and a contract with a company. So the employer doesn't provide 401k for me. But I do want pay less tax by filling 1040 form. Can I just call any bank buy funds online directly.
Because the last day 04/15 or 04/17 for this year is approaching.
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JohnBusiness Consultant (Owner)Commented:
Where I am, the investment house must set up and register a plan. So 401(K) for you, RRSP for me. Either way the plan has to be registered.

You need to talk to your bank or investment advisor as this is legal tax stuff and advice here is only general in nature.

I have to contribute for last year by February 28 even though last year's taxes are due April 30. I do not know what this date rule is for you, but your invesment advisor does know.

So with this little detail, the advice in my first post is still valid. ... Thinkpads_User
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JohnBusiness Consultant (Owner)Commented:
Thank you. I was pleased to assist. Good luck with your retirement planning. Stick with it, because it takes years to come amass what you need. ... Thinkpads_User
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