41. While out shopping for parsnips, Kelly has a sudden and frightening epiphany: she doesn\'t know how to best save for her retirement. Kelly is young and has more than average medical expenses, for which she is covered by her high deductible health plan. Her wealthy parents have agreed to give her any funds that she needs to pay for out-of-pocket medical costs. Kelly has access to a 401(k) through her work, but does not receive an employer match and has not contributed anything to it this year (or to any other savings account). Kelly earns $40,000 per year and wants to know the best account to save $3,000 for retirement this year. What do you (her financial advisor) recommend to her?

a. Invest the $3,000 in her 401(k) because it probably has lower expense ratios on investments

b. Invest the $3,000 in a traditional IRA to receive a tax benefit now

c. Invest the $3,000 in a Roth IRA because she is young and in a low tax bracket

d. Invest the $3,000 in a health savings account to get a tax benefit now and tax-free growth until she needs the funds for medical costs, which might not be until retirement