Question 1

Employer matching contributions are common with ____ plans.

Accepted Answer

A)  401(k) 
B)  403(b) 
C)  457 
D)  a and b 
E)  a and c 
A)  401(k) 
B)  403(b) 
C)  457 
D)  a and b 
E)  a and c

Question 2

Single premium annuities result in single payment of proceeds.

Accepted Answer

A) True 
 B)False

Question 3

The biggest unknown factor that retirees have when estimating their retirement needs and income is

Accepted Answer

A)  social security. 
B)  inflation. 
C)  pension benefits. 
D)  expenditures. 
E)  retirement age. 
A)  social security. 
B)  inflation. 
C)  pension benefits. 
D)  expenditures. 
E)  retirement age.

Question 4

Whether or not your social security benefits will be subject to income taxes depends on how much other income you received during the year.

Accepted Answer

A) True 
 B)False

Question 5

INSTRUCTIONS: Choose the word or phrase in [ ] which will correctly complete the statement. 
-Judy,age 68,is receiving social security benefits.She received $45,000 in consulting income this year.Her social security benefits [will | will not] be reduced because of these earnings.

Accepted Answer

A) for the first item 
B) for the second item 
C) if neither item will correctly complete the statement. 
A) for the first item 
B) for the second item 
C) if neither item will correctly complete the statement.

Question 6

INSTRUCTIONS: Choose the word or phrase in [ ] which will correctly complete the statement. 
-You can expect to spend [more | fewer] years in retirement than you spent in your parent's home.

Accepted Answer

A) for the first item 
B) for the second item 
C) if neither item will correctly complete the statement. 
A) for the first item 
B) for the second item 
C) if neither item will correctly complete the statement.

Question 7

INSTRUCTIONS: Choose the word or phrase in [ ] which will correctly complete the statement. 
-The [Roth | traditional] IRA is typically recommended for people in their 30s or 40s.

Accepted Answer

A) for the first item 
B) for the second item 
C) if neither item will correctly complete the statement. 
A) for the first item 
B) for the second item 
C) if neither item will correctly complete the statement.

Question 8

Annuity premiums are paid to the company during the distribution period.

Accepted Answer

A) True 
 B)False

Question 9

Reduced early retirement Social Security benefits can be received at age 60.

Accepted Answer

A) True 
 B)False

Question 10

INSTRUCTIONS: Choose the word or phrase in [ ] which will correctly complete the statement. 
-Social security alone [will | will not] provide a comfortable standard of living at retirement.

Accepted Answer

A) for the first item 
B) for the second item 
C) if neither item will correctly complete the statement. 
A) for the first item 
B) for the second item 
C) if neither item will correctly complete the statement.

Question 11

Social security benefits for retirees less than 65 years of age may be reduced if

Accepted Answer

A)  wages and salaries exceed certain limits. 
B)  interest income exceeds limits. 
C)  dividend and rental income exceed limits. 
D)  assets exceed $60,000. 
E)  a spouse's income exceeds certain limits. 
A)  wages and salaries exceed certain limits. 
B)  interest income exceeds limits. 
C)  dividend and rental income exceed limits. 
D)  assets exceed $60,000. 
E)  a spouse's income exceeds certain limits.

Question 12

Supplemental retirement plans are usually voluntary.

Accepted Answer

A) True 
 B)False

Question 13

Of the following survivors of a fully insured worker,____ would not be eligible for social security benefits.

Accepted Answer

A)  dependent children 
B)  spouse age 47,no children 
C)  spouse age 65,with dependent children 
D)  spouse age 65,no children 
E)  spouse age 26,with dependent children 
A)  dependent children 
B)  spouse age 47,no children 
C)  spouse age 65,with dependent children 
D)  spouse age 65,no children 
E)  spouse age 26,with dependent children

Question 14

Reduced early retirement benefits can be received at age 62.

Accepted Answer

A) True 
 B)False

Question 15

INSTRUCTIONS: Choose the word or phrase in [ ] which will correctly complete the statement. 
-You can withdraw [your contribution | the total balance] of your Roth IRA at any time without penalty.

Accepted Answer

A) for the first item 
B) for the second item 
C) if neither item will correctly complete the statement. 
A) for the first item 
B) for the second item 
C) if neither item will correctly complete the statement.

Question 16

One can maximize the monthly Social Security benefit amount by delaying taking retirement benefits until age

Accepted Answer

A)  62 
B)  65 
C)  67 
D)  70 
E)  75 
A)  62 
B)  65 
C)  67 
D)  70 
E)  75

Question 17

Major sources of retirement income include all of the following except

Accepted Answer

A)  life insurance. 
B)  annuities. 
C)  individual savings plans. 
D)  employer retirement and pension plans. 
E)  social security. 
A)  life insurance. 
B)  annuities. 
C)  individual savings plans. 
D)  employer retirement and pension plans. 
E)  social security.

Question 18

Having an accurate current income and expenditures statement would be very useful when calculating retirement needs.

Accepted Answer

A) True 
 B)False

Question 19

More than 50 percent of all wage earners and salaried workers today are covered by some type of employer-sponsored retirement or profit-sharing plan.

Accepted Answer

A) True 
 B)False

Question 20

____ do not have to be covered by Social Security coverage.

Accepted Answer

A)  Farmers and ministers 
B)  Federal civilian employees hired before 1984 and employees of state and local governments 
C)  Federal employees and ministers. 
D)  Teachers and employees of universities. 
E)  Ministers and professional athletes 
A)  Farmers and ministers 
B)  Federal civilian employees hired before 1984 and employees of state and local governments 
C)  Federal employees and ministers. 
D)  Teachers and employees of universities. 
E)  Ministers and professional athletes

Employer matching contributions are common with ____ plans.

Single premium annuities result in single payment of proceeds.

The biggest unknown factor that retirees have when estimating their retirement needs and income is

Whether or not your social security benefits will be subject to income taxes depends on how much other income you received during the year.

INSTRUCTIONS: Choose the word or phrase in [ ] which will correctly complete the statement. -Judy,age 68,is receiving social security benefits.She received $45,000 in consulting income this year.Her social security benefits [will | will not] be reduced because of these earnings.

INSTRUCTIONS: Choose the word or phrase in [ ] which will correctly complete the statement. -You can expect to spend [more | fewer] years in retirement than you spent in your parent's home.

INSTRUCTIONS: Choose the word or phrase in [ ] which will correctly complete the statement. -The [Roth | traditional] IRA is typically recommended for people in their 30s or 40s.

Annuity premiums are paid to the company during the distribution period.

Reduced early retirement Social Security benefits can be received at age 60.

INSTRUCTIONS: Choose the word or phrase in [ ] which will correctly complete the statement. -Social security alone [will | will not] provide a comfortable standard of living at retirement.

Social security benefits for retirees less than 65 years of age may be reduced if

Supplemental retirement plans are usually voluntary.

Of the following survivors of a fully insured worker,____ would not be eligible for social security benefits.

Reduced early retirement benefits can be received at age 62.

INSTRUCTIONS: Choose the word or phrase in [ ] which will correctly complete the statement. -You can withdraw [your contribution | the total balance] of your Roth IRA at any time without penalty.

One can maximize the monthly Social Security benefit amount by delaying taking retirement benefits until age

Major sources of retirement income include all of the following except

Having an accurate current income and expenditures statement would be very useful when calculating retirement needs.

More than 50 percent of all wage earners and salaried workers today are covered by some type of employer-sponsored retirement or profit-sharing plan.

____ do not have to be covered by Social Security coverage.

Understanding the Financial Planning Process

Using Financial Statements and Budgets

Preparing Your Taxes

Managing Your Cash and Savings

Making Automobile and Housing Decisions

Using Credit

Using Consumer Loans

Insuring Your Life

Insuring Your Health

Protecting Your Property

Investment Planning

Investing in Stocks and Bonds

Investing in Mutual Funds

Preserving Your Estate

Filters

Exam 14: Planning for Retirement

Employer matching contributions are common with ____ plans.

Single premium annuities result in single payment of proceeds.

The biggest unknown factor that retirees have when estimating their retirement needs and income is

Whether or not your social security benefits will be subject to income taxes depends on how much other income you received during the year.

INSTRUCTIONS: Choose the word or phrase in [ ] which will correctly complete the statement. -Judy,age 68,is receiving social security benefits.She received $45,000 in consulting income this year.Her social security benefits [will | will not] be reduced because of these earnings.

INSTRUCTIONS: Choose the word or phrase in [ ] which will correctly complete the statement. -You can expect to spend [more | fewer] years in retirement than you spent in your parent's home.

INSTRUCTIONS: Choose the word or phrase in [ ] which will correctly complete the statement. -The [Roth | traditional] IRA is typically recommended for people in their 30s or 40s.

Annuity premiums are paid to the company during the distribution period.

Reduced early retirement Social Security benefits can be received at age 60.

INSTRUCTIONS: Choose the word or phrase in [ ] which will correctly complete the statement. -Social security alone [will | will not] provide a comfortable standard of living at retirement.

Social security benefits for retirees less than 65 years of age may be reduced if

Supplemental retirement plans are usually voluntary.

Of the following survivors of a fully insured worker,____ would not be eligible for social security benefits.

Reduced early retirement benefits can be received at age 62.

INSTRUCTIONS: Choose the word or phrase in [ ] which will correctly complete the statement. -You can withdraw [your contribution | the total balance] of your Roth IRA at any time without penalty.

One can maximize the monthly Social Security benefit amount by delaying taking retirement benefits until age

Major sources of retirement income include all of the following except

Having an accurate current income and expenditures statement would be very useful when calculating retirement needs.

More than 50 percent of all wage earners and salaried workers today are covered by some type of employer-sponsored retirement or profit-sharing plan.

____ do not have to be covered by Social Security coverage.

Understanding the Financial Planning Process

Using Financial Statements and Budgets

Preparing Your Taxes

Managing Your Cash and Savings

Making Automobile and Housing Decisions

Using Credit

Using Consumer Loans

Insuring Your Life

Insuring Your Health

Protecting Your Property

Investment Planning

Investing in Stocks and Bonds

Investing in Mutual Funds

Preserving Your Estate

Filters