A Continuity IRA is a type of individual retirement account designed to maintain tax-deferred status when transferring funds from one retirement plan to another. This allows individuals to move their retirement savings without incurring immediate tax penalties, ensuring that their investments continue to grow over time. This account is particularly useful for those changing jobs or rolling over funds from a previous employer's retirement plan, such as a 401(k). By using a Continuity IRA, individuals can consolidate their retirement savings and simplify their financial planning while adhering to IRS regulations.