8 Tax Mistakes You Can’t Afford to Make: Annaly Capital Management, Inc. (NLY), American Capital Agency Corp. (AGNC)

Recommendation: Pay less in taxes by using the many special tax-favored accounts that the IRS allows.

IRAs, 401(k) plans, and other employer-sponsored retirement accounts.

529 plans and Coverdell Education Savings Accounts, which offer tax-free growth when proceeds are used for approved expenses.

Health savings accounts and flexible spending accounts provide tax benefits for your medical spending.

Bottom line: Not using these accounts is like handing over free money to Uncle Sam.