Question 1

Which of the following has accounted for a growing amount of total retirement income?

Accepted Answer

A) Social Security 
B) 401(k) 
C) Personal savings 
D) Earned income 
E) Real estate investing 
A) Social Security 
B) 401(k) 
C) Personal savings 
D) Earned income 
E) Real estate investing

Question 2

Variable annuities are usually better choices than fixed annuities for risk tolerant investors during the withdrawal phase of the annuity.

Accepted Answer

A) True 
 B)False

Question 3

Choose the word or phrase in [ ] which will correctly complete the statement. Select A for the first item, B for the second item, and C if neither item will correctly complete the statement.
-[Any gainfully employed person | Only certain employees] can put money into an IRA.

Accepted Answer

The answer of Choose the word or phrase in [...

Question 4

The fees on annuities tend to be high compared to mutual funds.

Accepted Answer

A) True 
 B)False

Question 5

Miles has no retirement plan at work.Therefore,$2,000 contributed to his regular IRA will be tax deductible.

Accepted Answer

A) True 
 B)False

Question 6

Anyone with earned income can contribute to some type of IRA.

Accepted Answer

A) True 
 B)False

Question 7

Funds to finance social security come from

Accepted Answer

A) voluntary contributions from employee, employer, and self-employed. 
B) compulsory contributions from employee, employer, and self-employed. 
C) state and federal income tax. 
D) compulsory contributions from government, employee, and employer. 
E) Congressional appropriations. 
A) voluntary contributions from employee, employer, and self-employed. 
B) compulsory contributions from employee, employer, and self-employed. 
C) state and federal income tax. 
D) compulsory contributions from government, employee, and employer. 
E) Congressional appropriations.

Question 8

Choose the word or phrase in [ ] which will correctly complete the statement. Select A for the first item, B for the second item, and C if neither item will correctly complete the statement.
-The Social Security administration provides estimates of retirement benefits one could expect to receive in [current | inflated] dollars.

Accepted Answer

The answer of Choose the word or phrase in [...

Question 9

Julie's employer has a defined benefits retirement plan which pays 3.2 percent of her last year's salary for each year of employment.Julie estimates her final salary will be $85,000,and she will have worked for 20 years.What is her expected retirement benefit? (Show all work.)

Accepted Answer

Retirement benefit =

Question 10

Annuities may provide survivor's benefits.

Accepted Answer

A) True 
 B)False

Question 11

Social Security represents about 38% of total retiree income.

Accepted Answer

A) True 
 B)False

Question 12

Choose the word or phrase in [ ] which will correctly complete the statement. Select A for the first item, B for the second item, and C if neither item will correctly complete the statement.
-The period during which annuity payments are made to the individual is called the [distribution | survivorship] period.

Accepted Answer

The answer of Choose the word or phrase in [...

Question 13

Your social security withholdings are placed in an account with your name on it.

Accepted Answer

A) True 
 B)False

Question 14

Tax-free earnings can be gotten from investments in

Accepted Answer

A) Roth IRAs. 
B) traditional IRAs. 
C) SEP plans. 
D) 401(k) plans. 
E) all of these. 
A) Roth IRAs. 
B) traditional IRAs. 
C) SEP plans. 
D) 401(k) plans. 
E) all of these.

Question 15

Choose the word or phrase in [ ] which will correctly complete the statement. Select A for the first item, B for the second item, and C if neither item will correctly complete the statement.
-The Social Security Administration [can | cannot] give you a fairly accurate estimate of benefits you can expect in the future.

Accepted Answer

The answer of Choose the word or phrase in [...

Question 16

When estimating retirement needs,you use the before-retirement investment return rate to adjust the current dollar shortfall to the actual shortfall at retirement.

Accepted Answer

A) True 
 B)False

Question 17

Choose the word or phrase in [ ] which will correctly complete the statement. Select A for the first item, B for the second item, and C if neither item will correctly complete the statement.
-It is [possible | not possible] to convert a traditional IRA to a Roth IRA.

Accepted Answer

The answer of Choose the word or phrase in [...

Question 18

The major mistake(s)people make in retirement planning is(are)

Accepted Answer

A) starting too late. 
B) saving too little. 
C) investing too conservatively. 
D) a and b 
E) a, b, and c 
A) starting too late. 
B) saving too little. 
C) investing too conservatively. 
D) a and b 
E) a, b, and c

Question 19

Eligibility requirements for pension and retirement plans are typically determined by the employee's age and years of service.

Accepted Answer

A) True 
 B)False

Question 20

Employee contributions to ____ plans do not reduce taxable income.

Accepted Answer

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

Which of the following has accounted for a growing amount of total retirement income?

Variable annuities are usually better choices than fixed annuities for risk tolerant investors during the withdrawal phase of the annuity.

Choose the word or phrase in [ ] which will correctly complete the statement. Select A for the first item, B for the second item, and C if neither item will correctly complete the statement. -[Any gainfully employed person | Only certain employees] can put money into an IRA.

The fees on annuities tend to be high compared to mutual funds.

Miles has no retirement plan at work.Therefore,$2,000 contributed to his regular IRA will be tax deductible.

Anyone with earned income can contribute to some type of IRA.

Funds to finance social security come from

Julie's employer has a defined benefits retirement plan which pays 3.2 percent of her last year's salary for each year of employment.Julie estimates her final salary will be $85,000,and she will have worked for 20 years.What is her expected retirement benefit? (Show all work.)

Annuities may provide survivor's benefits.

Social Security represents about 38% of total retiree income.

Your social security withholdings are placed in an account with your name on it.

Tax-free earnings can be gotten from investments in

When estimating retirement needs,you use the before-retirement investment return rate to adjust the current dollar shortfall to the actual shortfall at retirement.

Choose the word or phrase in [ ] which will correctly complete the statement. Select A for the first item, B for the second item, and C if neither item will correctly complete the statement. -It is [possible | not possible] to convert a traditional IRA to a Roth IRA.

The major mistake(s)people make in retirement planning is(are)

Eligibility requirements for pension and retirement plans are typically determined by the employee's age and years of service.

Employee contributions to ____ plans do not reduce taxable income.

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

Which of the following has accounted for a growing amount of total retirement income?

Variable annuities are usually better choices than fixed annuities for risk tolerant investors during the withdrawal phase of the annuity.

Choose the word or phrase in [ ] which will correctly complete the statement. Select A for the first item, B for the second item, and C if neither item will correctly complete the statement. -[Any gainfully employed person | Only certain employees] can put money into an IRA.

The fees on annuities tend to be high compared to mutual funds.

Miles has no retirement plan at work.Therefore,$2,000 contributed to his regular IRA will be tax deductible.

Anyone with earned income can contribute to some type of IRA.

Funds to finance social security come from

Julie's employer has a defined benefits retirement plan which pays 3.2 percent of her last year's salary for each year of employment.Julie estimates her final salary will be $85,000,and she will have worked for 20 years.What is her expected retirement benefit? (Show all work.)

Annuities may provide survivor's benefits.

Social Security represents about 38% of total retiree income.

Your social security withholdings are placed in an account with your name on it.

Tax-free earnings can be gotten from investments in

When estimating retirement needs,you use the before-retirement investment return rate to adjust the current dollar shortfall to the actual shortfall at retirement.

Choose the word or phrase in [ ] which will correctly complete the statement. Select A for the first item, B for the second item, and C if neither item will correctly complete the statement. -It is [possible | not possible] to convert a traditional IRA to a Roth IRA.

The major mistake(s)people make in retirement planning is(are)

Eligibility requirements for pension and retirement plans are typically determined by the employee's age and years of service.

Employee contributions to ____ plans do not reduce taxable income.

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