Everyone knows that when you are saving for retirement that you must use tax efficient accounts like IRAs and company 401Ks. Using tax deferred growth is one of the best ways to grow your retirement nest egg.

Though tax savings accounts are the best way to invest for retirement, sometimes a taxable account is the right choice even though you will be taking a tax hit. Here are a few situations when a taxable account makes sense even though it will cost you some taxes.

The money may be needed soon.