Midterm Quiz Flashcards
A summary plan description (SPD) must be furnished _____ to participants.
A. Within 200 days
B. Whenever the company wants to
C. Automatically
D. At no set time
C. Automatically
Study Guide, Module 1, Learning Outcome 2.2(b);Text, Page 15
ERISA stipulates that records be maintained for at least ____ years from the date the plan’s associated Form 5500 is filed.
A. Two
B. Six
C. Five
D. Seven
B. Six
Module 1 - Candidate Note: Sutdy Guide, Page 19
Health and accident insurance plan payment benefits received by an employee, the employee’s spouse, and eligible covered dependents ______ taxable income to the employee so long as they are used for the employee’s medical care.
A. Are
B. Are not
C. May be
D. May not be
B. Are not
Study Guide, Module 2, Pg 7, Learning Outcome 1.3; Text, Page 30
All large, insured employers (an employer with at least _____ full-time employees, including full-time equivalent employees) must report whether they offer group health insurance.
A. 60
B. 100
C. 30
D. 50
D. 50
Study guide, Module 2, Page 13, Learning Outcome 3.3; Text, Page 35
The _____ is the foundation for how the retirement plan investment program is expected to operate.
A. ISP
B. IPS
C. PSI
D. IL
B. IPS
Study Guide, Module 3, Page 10, Learning Outcome 2.4; Text, Page 77
Success is often hard to measure in the ______ approach, while it is directly measurable in the _____ approach.
A. Market-driven/traditional
B. Passive/active
C. Traditional/market-driven
D. Active/passive
C. Traditional/market-driven
Study Guide, Module 3, Page 16, Learning Outcome 3.5; Text, Page 87
Plan sponsors assume ______ privacy risks when providing sensitive personal data of participants to service providers for plan administration.
A. Lesser
B. No
C. Some
D. Greater
D. Greater
Study Guide, Module 4, Page 7, Learning Outcome; Text, Page 118
ASC topic _____ includes the accounting and financial reporting standards for defined contribution plans.
A. 961
B. 965
C. 962
D. 960
C. 962
Study Guide, Module 5, Page 7, Learning Outcome 1.2; Text, Page 181
A plan administrator _____ have the right to examine an auditor’s work papers for any purpose, including assessing audit quality.
A. Does not
B. May
C. May not
D. Does
A. Does not
Study Guide, Module 5, Page 12, Learning Outcome 2.9; Text, Page 193
_____ are the most popular default investment in the post-PPA world.
A. Bonds
B. Stocks
C. TDFs
D. Mutual Funds
C. TDFs
Study Guide, Module 6, Page 18, Learning Outcome 4.2; Text, Page 244
All of the following are types of benefits provided by ERISA health and welfare plans, EXCEPT:
A. Apprenticeship or training benefits
B. Prepaid legal services and vacation benefits
C. Scholarship funds
D. Defined contribution and defined benefit plans
D. Defined contribution and defined benefit plans
Study Guide, Module 1, Page 7, Learning Outcome 1.5; Text, Page 10
Voluntary benefit arrangements that are exempt from ERISA based on the DOL safe harbor must meet certain requirements. All of the following are requirements to be exempt, EXCEPT:
A. Participation is completely involuntary
B. No employer consideration except for reasonable compensation for administration
C. No employer endorsement
D. No employer or employee organization contributions
A. Participation is completely involuntary
Study Guide, Module 1, Page 8, Learning Outcome 1.7; Text, Page 12
(Participation is completely VOLUNTARY)
Requirements that must be met for employer contributions to be exempted from FICA and FUTA Taxation include all of the following, EXCEPT:
A. The employer is required to make the contributions
B. The employer can document that the employees contribute to the plan
C. The plan is not referred to in an employment contract
D. The plan is in writing
C. The plan is not referred to in an employment contract
Study Guide, Module 2, Page 7, Learning Outcome 1.4; Text, Page 31
All of the following are coverage types and arrangements that do not need to be reported on Form W-2, EXCEPT:
A. Medical savings accounts
B. Health savings account
C. Coverage for a specified disease or other indemnity insurance if premiums are paid for by the employee on a pre-tax basis
D. Wellness programs unless COBRA beneficiaries pay premiums
C. Coverage for a specified disease or other indemnity insurance if premiums are paid for by the employee on a pre-tax basis
Study Guide, Module 2, Page 12, Learning Outcome 3.2; Text, Page 34-35
The investment committee charter is an important component of plan governance and should perform all of the following, EXCEPT:
A. Define how committee members are selected or appointment
B. Specify activities for which the committee is not responsible for
C. Define the roles of any outside consultants
D. Establish how often regular committee meetings should occur
B. Specify activities for which the committee is not responsible for
Study Guide, Module 3, Page 10, Learning Outcome 2.3; Text, Page 76