Investing your money is key to building wealth over time. But with rising inflation and an uncertain economic outlook, it’s no wonder that many investors are looking for ways to improve the tax efficiency of their holdings.
“It’s not likely you’ll be able to avoid taxes altogether, but certain kinds of investments are much more tax advantageous than others,” says Josh Zimmelman, founder of Westwood Tax & Consulting in Long Island, New York.
Whether you opt for tax-advantaged investment accounts, such as Roth IRAs or health savings accounts, or invest in tax-exempt funds, there are a number of investment vehicles you can use to save on taxes.
This post originally appeared at U.S. News & World Report.