When should I use a taxable account vs an IRA?

Max out tax-advantaged accounts (401k, IRA) first before using a taxable account — the tax savings are significant. Use a taxable brokerage for goals before retirement age (since IRA withdrawals before 59½ carry a 10% penalty), for amounts above IRA contribution limits ($7,000/year in 2026), or when you want flexibility to withdraw funds without restrictions.