Question 1

Probate is a short, quick process.

Accepted Answer

A) True 
 B)False

Question 2

The longer money accumulates tax-deferred in an IRA, the bigger the benefit.

Accepted Answer

A) True 
 B)False

Question 3

Your estate consists of everything you own.

Accepted Answer

A) True 
 B)False

Question 4

Employees who were born in 1960 or later can receive full Social Security benefits beginning at age

Accepted Answer

A)  59½. 
B)  62. 
C)  65. 
D)  67. 
E)  70. 
A)  59½. 
B)  62. 
C)  65. 
D)  67. 
E)  70.

Question 5

A power of attorney should perform the tasks involved in carrying out the will of a deceased person.

Accepted Answer

A) True 
 B)False

Question 6

About one out of every three Americans currently collects some form of Social Security benefit.

Accepted Answer

A) True 
 B)False

Question 7

If you are married, all of your assets will automatically pass to your spouse.

Accepted Answer

A) True 
 B)False

Question 8

When you retire, you will probably spend less money on

Accepted Answer

A)  Clothing. 
B)  Health insurance. 
C)  Medical care. 
D)  Recreation. 
E)  All of these. 
A)  Clothing. 
B)  Health insurance. 
C)  Medical care. 
D)  Recreation. 
E)  All of these.

Question 9

A revocable trust cannot be changed or ended.

Accepted Answer

A) True 
 B)False

Question 10

Cindy's net worth should increase each year as she moves closer to her retirement.

Accepted Answer

A) True 
 B)False

Question 11

Jill is 45 years old and thinks that her future tax rate will be lower than what she currently pays, so she wants to defer her taxes on her contributions of up to $5,500 in 2014. Which plan would allow her to meet her goals?

Accepted Answer

A)  401(k) plan 
B)  Regular IRA 
C)  Roth IRA 
D)  SEP plan 
E)  Spousal IRA 
A)  401(k) plan 
B)  Regular IRA 
C)  Roth IRA 
D)  SEP plan 
E)  Spousal IRA

Question 12

Another name for a Coverdell account is a(n)

Accepted Answer

A)  Education IRA. 
B)  Regular IRA. 
C)  Roth IRA. 
D)  SEP plan. 
E)  Spousal IRA. 
A)  Education IRA. 
B)  Regular IRA. 
C)  Roth IRA. 
D)  SEP plan. 
E)  Spousal IRA.

Question 13

An example of a defined-contribution plan is a stock bonus plan.

Accepted Answer

A) True 
 B)False

Question 14

Multiple copies of a ______________ should be distributed to those closest to you as well as your family doctor.

Accepted Answer

A)  formal will 
B)  guardian 
C)  living will 
D)  Statutory will 
E)  trust 
A)  formal will 
B)  guardian 
C)  living will 
D)  Statutory will 
E)  trust

Question 15

Sean's estate planning should

Accepted Answer

A)  Be built by acquiring assets using debt. 
B)  Be distributed first to his cousin, then whatever is left should go to his wife. 
C)  Ignore his beneficiaries. 
D)  Consist primarily of a will. 
E)  Take the needs of his wife and children into account. 
A)  Be built by acquiring assets using debt. 
B)  Be distributed first to his cousin, then whatever is left should go to his wife. 
C)  Ignore his beneficiaries. 
D)  Consist primarily of a will. 
E)  Take the needs of his wife and children into account.

Question 16

Kiplinger.com's retiree tax map, Kiplinger.com/tools/retiree_map, is a state-by-state guide that can help determine the most tax-friendly states for you and your assets in retirement.

Accepted Answer

A) True 
 B)False

Question 17

Estate planning is important for financial planning but not for retirement planning.

Accepted Answer

A) True 
 B)False

Question 18

Retirement means that you will never work again.

Accepted Answer

A) True 
 B)False

Question 19

A copy of your living will should be distributed to your family doctor to be placed in your medical file.

Accepted Answer

A) True 
 B)False

Question 20

The best time to begin planning for retirement is at age 27.

Accepted Answer

A) True 
 B)False

Probate is a short, quick process.

The longer money accumulates tax-deferred in an IRA, the bigger the benefit.

Your estate consists of everything you own.

Employees who were born in 1960 or later can receive full Social Security benefits beginning at age

A power of attorney should perform the tasks involved in carrying out the will of a deceased person.

About one out of every three Americans currently collects some form of Social Security benefit.

If you are married, all of your assets will automatically pass to your spouse.

When you retire, you will probably spend less money on

A revocable trust cannot be changed or ended.

Cindy's net worth should increase each year as she moves closer to her retirement.

Jill is 45 years old and thinks that her future tax rate will be lower than what she currently pays, so she wants to defer her taxes on her contributions of up to $5,500 in 2014. Which plan would allow her to meet her goals?

Another name for a Coverdell account is a(n)

An example of a defined-contribution plan is a stock bonus plan.

Multiple copies of a ______________ should be distributed to those closest to you as well as your family doctor.

Sean's estate planning should

Kiplinger.com's retiree tax map, Kiplinger.com/tools/retiree_map, is a state-by-state guide that can help determine the most tax-friendly states for you and your assets in retirement.

Estate planning is important for financial planning but not for retirement planning.

Retirement means that you will never work again.

A copy of your living will should be distributed to your family doctor to be placed in your medical file.

The best time to begin planning for retirement is at age 27.

Personal Financial Planning in Action

Money Management Skills

Taxes in Your Financial Plan

Financial Services: Saving Plans and Payment Accounts

Consumer Credit: Advantages, Disadvantages, Sources, and Costs

Consumer Purchasing Strategies and Wise Buying of Motor Vehicles

Selecting and Financing Housing

Home and Automobile Insurance

Health and Disability Insurance

Financial Planning With Life Insurance

Investing Fundamentals and Bonds

Investing in Stocks

Investing in Mutual Funds

Filters

Exam 14: Starting Early: Retirement and Estate Planning

Probate is a short, quick process.

The longer money accumulates tax-deferred in an IRA, the bigger the benefit.

Your estate consists of everything you own.

Employees who were born in 1960 or later can receive full Social Security benefits beginning at age

A power of attorney should perform the tasks involved in carrying out the will of a deceased person.

About one out of every three Americans currently collects some form of Social Security benefit.

If you are married, all of your assets will automatically pass to your spouse.

When you retire, you will probably spend less money on

A revocable trust cannot be changed or ended.

Cindy's net worth should increase each year as she moves closer to her retirement.

Jill is 45 years old and thinks that her future tax rate will be lower than what she currently pays, so she wants to defer her taxes on her contributions of up to $5,500 in 2014. Which plan would allow her to meet her goals?

Another name for a Coverdell account is a(n)

An example of a defined-contribution plan is a stock bonus plan.

Multiple copies of a ______________ should be distributed to those closest to you as well as your family doctor.

Sean's estate planning should

Kiplinger.com's retiree tax map, Kiplinger.com/tools/retiree_map, is a state-by-state guide that can help determine the most tax-friendly states for you and your assets in retirement.

Estate planning is important for financial planning but not for retirement planning.

Retirement means that you will never work again.

A copy of your living will should be distributed to your family doctor to be placed in your medical file.

The best time to begin planning for retirement is at age 27.

Personal Financial Planning in Action

Money Management Skills

Taxes in Your Financial Plan

Financial Services: Saving Plans and Payment Accounts

Consumer Credit: Advantages, Disadvantages, Sources, and Costs

Consumer Purchasing Strategies and Wise Buying of Motor Vehicles

Selecting and Financing Housing

Home and Automobile Insurance

Health and Disability Insurance

Financial Planning With Life Insurance

Investing Fundamentals and Bonds

Investing in Stocks

Investing in Mutual Funds

Filters