4 Ret Acct

Question 1

Tax Deferred

Answer 1

deferred taxes until later

Qualifed to pay later

Question 2

Tax Free

Answer 2

not free - already paid after tax - Roth

After Tax = Non-Qualified

not qualified to pay later

Question 4

IRA

tax catch-up

over funding

Answer 4

pre-tax (deferred)

50+

6% penalty on amt above max

Question 6

IRA

early distributions

Answer 6

before 59 1/2 - 10% penalty + income tax

exempt for med, 1st home, edu

Question 8

IRA RMD

Answer 8

70 1/2 - after turning, have until Apr 1st following year

50% penalty on what should have been taken

no more contributions

Question 10

Roth IRA

tax free conditions

Answer 10

tax free distributions after 59 1/2

& acct has been established for 5 years

Question 12

Roth IRA

RMD

Contributions

Answer 12

No

yes - no age limit to stop

high income earners cannot contribute

Question 14

Roth IRA

cost basis

Answer 14

can remove after 5 yrs

Question 16

Beneficiary IRA

RMD

Answer 16

continue based on recipients age

Question 18

401(k)

w/d age

creditors

RMD

co stock

Answer 18

50

protected

not req if still working

better cap gains treatment

Question 20

IRA creditors

Answer 20

protected only in bankruptcy, not from other creditors

Question 22

direct transfer

Answer 22

custodian sends check to custodian

Question 24

rollover 401k

Answer 24

1 per yearcomplete w/in 60 days

Question 26

top heavy

Answer 26

60% ben to key ee

Question 28

loan repay

Answer 28

5 years + int

Question 29

401k withdraw

Answer 29

no contrib for 6 mo.

pay penalities and taxed

Question 30

401k borrow amounts

1

2

Answer 30

the lesser of

1. > of 10k or 1/2 vested

or

2. 50k